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A special contract requires 640 units of component T.

A special contract requires 640 units of component T.

The inventory of 280 units of component T cost $0.20 per unit but the component is not currently used by the company.

The current market price of component T is $0.24 per unit but the inventory could be sold for $0.15 per unit.

The relevant cost of the units of component T required for the special contract is:

A.

$100.40

B.

$128.40

C.

$142.40

D.

$153.60

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