Question: A company decides to close down its plastics division. It has on hand 21 tons of styrene monomer, a raw material that has a market
A company decides to close down its plastics division. It has on hand
21
tons of styrene monomer, a raw material that has a market price of
$800
per ton, which had been originally purchased at
$750
per ton. Given that the company has no use for the styrene monomer, and that it would cost the company
$5,100
to store it, what is the value of the
21
tons of styrene monomer to the company?
A.
$15,750
B.
$16,800
C.
$0
D.
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