Babcock Company manufactures fast$-$baking ovens in the United States.

Production cost $500$ Per unit

Sells to uncontrolled distributors in the U$.$S$.$ and a wholly owned sales subsidiary in Canada.

Babcock's U$.$S$.$ distributors sell the ovens to restaurants for $1000$ Per unit

Babcock's Canadian subsidiary sell the ovens for $1100$ Per unit

Other distributors of ovens to restaurants in Canada normally earn a gross profit equal to $25\%$ of selling price

Babcock's main competitor in the U$.$S$.$ sells fast$-$baking ovens at an average markup of $50\%$ on cost

Babcock's Canadian sales subsidiary incurs operating costs, other than cost of goods sold of $250$ per oven sold

Average operating profit margin earned by Canadian distributors of fast$-$baking ovens is $5\%$

Required:

$1.$ Compute an acceptable transfer price under the resale price method:

Selling price

Less: Normal gross profit

Resale price

$2.$ Compute an acceptable transfer price under the cost$-$plus method:

Cost

Add: Markup

Resale price

$3.$ Compute an acceptable transfer price under the comparable profits method:

Sales

Less: Operating costs

Less: Operating profit

Cost of goods sold $($transfer price$)$