Milltronics industries has 2,900 defective units of product that have already cost $14.90 each to produce. a salvage company will purchase the defective units as they are for $5.90 each. milltronics ‘s production manager reports that the defects can be corrected for $5.10 per unit, enabling them to be sold at their regular market price of $22.80. the incremental income or loss on reworking the units is:
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Milltronics industries has 2,900 defective units of product that have already cost $14.90 each to pr...
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