What should digital view do

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Reference no: EM133370024

Question: Digital View Inc. has decided to discontinue its Basic model DVD player. They currently have a number of partially completed units on hand that have incurred $50 of costs per unit. They could complete them incurring the following additional unit costs: direct materials $10, direct labor $20, variable overhead $5, and fixed overhead $30. The fixed costs relate to depreciation on plant assets. If Digital View completes the DVD players they can be sold at $100 per unit. However, another company is willing to buy the DVD players as is for $60. What should Digital View do?

Reference no: EM133370024

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