"last year your company built 1,500,000 units of product able and sold 1,405,000 after 14 months in r& d, a revision of product able is due out tomorrow, on january 2 (the first business day of this year) what will happen to the unsold inventory of 95,000 units of old product able? "

they old compete for sales based on the product attributes they were built under before any of the new product able is offered for sale

they old be scrapped for 50 cents on the dollar

they old be carried on the books based on a lifo accounting system

they old be reworked to match the new specifications for product able

they old be expensed as a adjustment to income and òdisappearó