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Homework answers / question archive / More Parts Liquidators specializes in buying excess parts inventories for resale or to incorporate into other products
More Parts Liquidators specializes in buying excess parts inventories for resale 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 can also 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? Parts Only New Product w/Parts Incremental Sales Revenue Cost of Parts Additional Costs Profit / loss More Parts should incorporate into a new product
