A division can sell externally for $40 per unit. Its variable manufacturing costs are $15 per unit, and its variable marketing costs are $6 per unit. The variable marketing costs can be avoided if the units are transferred internally. What is the opportunity cost of transferring internally, assuming the division is operating at capacity

$19

Explanation:

The opportunity cost of transferring internally is the lost contribution of selling the units externally.

Contribution = Sales - Variable Costs

where,

Sales = $40

Variable Costs = $15 + $6 = $21

therefore,

Lost Contribution =  $40 - $21 = $19

Conclusion

the opportunity cost of transferring internally is $19.

the answer is d

explanation:

answer: b) the us is the leading importer but not the leading exporter.

extra info:

the u.s is the largest importer but it is not the largest exporter as china sits on the top of the table when it comes to leading exporters.

but u.s is not far from first,

they rank in 2nd globally as the worlds largest exporter.

happy to

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