More Parts Liquidators specializes in buying excess parts inventories to resell or to incorporate into other products. They recently purchased parts for $135,000 and they have a buyer willing to pay $162,000. The company also can incorporate these parts into a new product at a cost of $101,250 and sell the new product for $256,500. What should More Parts Liquidators do? Sales Revenue Cost of Parts Additional Costs Profit / loss More Parts should Parts Only New Product withparts Incremental

More Parts Liquidators specializes in buying excess parts inventories to resell or to incorporate into other products. They recently purchased parts for $135,000 and they have a buyer willing to pay $162,000. The company also can incorporate these parts into a new product at a cost of $101,250 and sell the new product for $256,500. What should More Parts Liquidators do? Sales Revenue Cost of Parts Additional Costs Profit / loss More Parts should Parts Only New Product withparts Incremental

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 7EB: An auto repair company needs a new machine that will check for defective sensors. The machine has an...

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More Parts Liquidators specializes in buying excess parts inventories to resell or to incorporate into other products. They recently
purchased parts for $135,000 and they have a buyer willing to pay $162,000. The company also can incorporate these parts into a
new product at a cost of $101,250 and sell the new product for $256,500. What should More Parts Liquidators do?
Sales Revenue
Cost of Parts
Additional Costs
Profit/ loss
More Parts should
Parts Only
New Product
withparts
Incremental

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