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Business, 30.11.2020 18:00 pk4mk

Signal mistakenly produced 1,075 defective cell phones. The phones cost $66 each to produce. A salvage company will buy the defective phones as they are for $38 each. It would cost Signal $86 per phone to rework the phones. If the phones are reworked, Signal could sell them for $136 each. Signal has excess capacity. Should Signal scrap or rework the phones. Required:
Compute the incremental net income from reworking the phones.

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