Exerclse $23\mathrm{.}5($Algo$)$ Sell or process LO P$2$

Varto Company has $11,800$ units of its product in inventory that It produced last year at a cost of $$153,000.$ This year's model is better

than last year's, and the $11,800$ units cannot be sold at last year's normal selling price of $$46$ each. Varto has two alternatives for these

units: $(1)$ They can be sold as is to a wholesaler for $$165,200$ or $(2)$ they can be processed further at an addltional cost of $$183,600$ and

then sold for $$342,200.$

$($a$)$ Prepare a sell as is or process further analysis of income effects.

$($b$)$ Should Varto sell the products as is or process further and then sell them?