McPupper Steel has products that can be sold as is for $13,000 as is, or could be reworked at a cost of $3,400 and sold for $16,000. What would be the incremental profit or (loss) of reworking and selling the products instead of selling them as is?

It is more profitable to sell the product as it is.

Explanation:

Giving the following information:

McPupper Steel has products that can be sold for $13,000, or could be reworked at a cost of $3,400 and sold for $16,000.

To calculate the convenience of continue processing the product, we need to deduct from the final selling price the rework costs and compare it to the original price.

Effect on income= 16,000 - 3,400= $12,600

It is more profitable to sell the product as it is.