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Profit for reworking material rather than selling it as scrap

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Hodge Inc. has some material that originally cost $73,300. The material has a scrap value of $57,100 as is, but if reworked at a cost of $1,600, it could be sold for $54,400. What would be the incremental effect on the company's overall profit of reworking and selling the material rather than selling it as is as scrap?

-$4,300
$4,100
-$5,100
-$4,700

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This provides the steps to calculate the profit for reworking material rather than selling as scrap

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Hodge Inc. has some material that originally cost $73,300. The material has a scrap ...

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