"When they do so, it will be a direct 100% gain on sales."
That's completely False!!!
Anything they get is simply a cash credit to go against the write off.
Selling in another market/any inventory after it's been written off is simply an attempt to mitigate the loss on the figure used in the original writing off of obsolete inventory.
It is fundamentally wrong to say a "direct 100% gain on the sale".
There is no "gain" on anything,other than mitigating a loss.
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