Business, 27.04.2021 15:00 Bra1nPowers

Assume Division A has provided the following information regarding the one product that it manufactures and sells on the outside market: Selling price per unit (on the outside market) $ 100 Variable cost per unit $ 68 Fixed costs per unit (based on capacity) $ 10 Capacity in units 30,000 Division A has been offered the opportunity to sell 5,000 units of its only product to another division within the same company. The other division can either agree to a transfer price with Division A or purchase a comparable product on the outside market for $100. If Division A is currently selling 25,500 units on the outside market, what is the range of acceptable transfer prices between the two divisions

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Assume Division A has provided the following information regarding the one product that it manufactu...

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