The Garrison Company now has $12,000 of obsolete inventory in stock. This inventory could be sold for $5,000, or modified for $6,000 and sold for $15,000. The change in the company's net income resulting from modifying the inventory and then selling it as opposed to selling it as is would be: $3,000 decrease $4,000 decrease $7,000 increase $9,000 increase
The Garrison Company now has $12,000 of obsolete inventory in stock. This inventory could be sold for $5,000, or modified for $6,000 and sold for $15,000. The change in the company's net income resulting from modifying the inventory and then selling it as opposed to selling it as is would be: $3,000 decrease $4,000 decrease $7,000 increase $9,000 increase
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter21: Supply Chains And Working Capital Management
Section: Chapter Questions
Problem 1P
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![The Garrison Company now has $12,000 of obsolete inventory in stock. This inventory could be sold for $5,000, or modified for $6,000 and sold for $15,000. The
change in the company's net income resulting from modifying the inventory and then selling it as opposed to selling it as is would be: $3,000 decrease $4,000
decrease $7,000 increase $9,000 increase](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fdd56e12c-6598-4bb6-b605-a2196ad22846%2Ffba2151a-1188-41a7-832c-fab47a62bc74%2Fqurwet_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The Garrison Company now has $12,000 of obsolete inventory in stock. This inventory could be sold for $5,000, or modified for $6,000 and sold for $15,000. The
change in the company's net income resulting from modifying the inventory and then selling it as opposed to selling it as is would be: $3,000 decrease $4,000
decrease $7,000 increase $9,000 increase
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