Homework Answers
Answer: $1,100,000
Explanation:
A sunk cost is the cost just has been incurred. In the given problem the original cost is the carrying value and that cost is sunk cost. so sunk cost is $1,100,000
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Tawstir Corporation has 800 obsolete personal computers that are carried in inventory at a total cost...
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The Tolar Corporation has 500 obsolete desk calculators that are carried in inventory at a total cost of $720,000. If these calculators are upgraded at a total cost of $110,000, they can be sold for a total of $170,000. As an alternative, the calculators can be sold in their present condition for $50,000. What is the financial advantage (disadvantage) to the company from upgrading the calculators?
The Tolar Corporation has 500 obsolete desk calculators that are carried in inventory at a total...
The Tolar Corporation has 500 obsolete desk calculators that are carried in inventory at a total cost of $720,000. If these calculators are upgraded at a total cost of $110,000, they can be sold for a total of $170,000. As an alternative, the calculators can be sold in their present condition for $50,000. What is the financial advantage (disadvantage) to the company from upgrading the calculators? A) $120,000 B) ($60,000) C) $10,000 D) ($670,000)
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