On july 1, alton co. issued an $67,700, 12%, 120-day note payable to seller co. assume that the fiscal year of alton co. ends july 31. using a 360-day year in your calculations, what is the amount of interest expense recognized by alton in the current fiscal year? when required, round your answer to the nearest dollar.

Varto company has 9,400 units of its sole product in inventory that it produced last year at a cost of $23 each. this year’s model is superior to last year’s, and the 9,400 units cannot be sold at last year’s regular selling price of $42 each. varto has two alternatives for these items: (1) they can be sold to a wholesaler for $8 each, or (2) they can be reworked at a cost of $251,100 and then sold for $34 each. prepare an analysis to determine whether varto should sell the products as is or rework them and then sell them.