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The Tolar Company Has 400 Obsolete Desk Calculators That Are

Question 28

Multiple Choice

The Tolar Company has 400 obsolete desk calculators that are carried in inventory at a total cost of $26,800. If these calculators are upgraded at a total cost of $10,000, they can be sold for a total of $30,000. As an alternative, the calculators can be sold in their present condition for $11,200.
-What is the net advantage or disadvantage to the company from upgrading the calculators?


A) $8,800 advantage
B) $18,000 disadvantage
C) $20,000 advantage
D) $8,000 disadvantage

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