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ABC operates under a cost - based transfer structure and the warehouse supplies all stores with merchandise. The stores can purchase only from the warehouse,

ABC operates under a cost-based transfer structure and the warehouse supplies all
stores with merchandise. The stores can purchase only from the warehouse, and
the warehouse can only sell to ABC stores. The West store has some concerns
relating to the store's financial performance and has asked for your help analyzing
transfer costs. After calculating the operating income in dollars and the operating
income percent, analyze the following financial information to determine costs
that may need further investigation. Your analysis mut include a vertical analysis,
percentage basis.
Show your calculations if you want credit.
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