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Business, 20.08.2019 21:10 lam21

Cornerstone, inc. has $125,000 of inventory that suffered minor smoke damage from a fire in the warehouse. the company can sell the goods "as is" for $45,000; alternatively, the goods can be cleaned and shipped to the firm's outlet center at a cost of $23,000. there the goods could be sold for $80,000. what alternative is more desirable and what is the relevant cost for that alternative? a. sell "as is," $125,000. b. clean and ship to outlet center, $23,000. c. clean and ship to outlet center, $103,000. d. clean and ship to outlet center, $148,000. e. neither alternative is desirable, as both produce a loss for the firm

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Cornerstone, inc. has $125,000 of inventory that suffered minor smoke damage from a fire in the ware...
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