Ahngram Corp. has 1,000 defective units of a product that cost $2.10 per unit in direct costs and $5.60 per unit in indirect cost when produced last year. The units can be sold as scrap for $3.10 per unit or reworked at an additional cost of $1.60 and sold at full price of $9.30. The incremental net income (loss) from the choice of reworking the units would be:
A. $4,600.
B. $0.
C. $1,600.
D. $7,700.
E. $1,600.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Ahngram Corp. has 1,000 defective units of a product that cost $2.10 per unit in direct costs and $5.60 per unit in indirect cost when ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
ToyMax seeks to determine the number of Kanban containers needed to feed a newly established work cell. The cell requires 600 parts over an eight-hour day.
Answers (1)
The comparative balance sheets for Montalvo Company show these changes in noncash current asset accounts: accounts receivable decrease $80,000, prepaid expenses increase $28,500, and inventories increase $33,500.
Answers (1)
The 80/20 principle holds that 20 percent of all customers generate 80 percent of the demand. Although the percentages usually are not exact, the general idea often holds true. Which consumer market segment is described here
Answers (1)
It is illegal for a company to ask a prospective employee about his religion, although it is not illegal for a prospective employee to volunteer such information.
Answers (1)
When opening a checking or share draft account, which would likely be the most important consideration? What incentives are provided for you to open an account? What is the current interest rate paid on funds left in the account?
Answers (1)
New Questions in Business
Arnell Industries has $35 million in permanent debt outstanding. The firm will pay interest only on this debt. Arnell's marginal tax rate is expected to be 21% for the foreseeable future. a) Suppose Arnell pays interest of 7% per year on its debt.
Answers (1)
List of marketing collateral needed for new territory
Answers (1)
In July 2009, Hungary successfully issued 1 billion euros in bonds. The transaction was managed by Citigroup. Who is the issuer of the bonds? The Hungarian government Hungary Bank Citigroup What type of bonds are these? a. Government bonds b.
Answers (1)
E6-18 (Algo) Inferring Bad Debt Write-Offs and Cash Collections from Customers LO6-2 On its recent financial statements, Hassell Fine Foods reported the following information about net sales revenue and accounts receivable (amounts in thousands) :
Answers (1)
Dicey Investments, Inc. has a debt/equity ratio of 2.0. If it had no debt, its cost of equity would be 13%, while Its pre-tax cost of debt is 10%.
Answers (2)