Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Current Attempt in Progress Your answer is incorrect. The machining division of Oriole International has a capacity of 2 , 4 7 0 units .

Current Attempt in Progress
Your answer is incorrect.
The machining division ofOrioleInternational has a capacity of2,470units. Its sales and cost data are:
Selling price per unit $ 80
Variable manufacturing costs per unit 30
Variable selling costs per unit 6
Total fixed manufacturing overhead 198,900
The machining division is currently selling2,270units to outside customers, and the assembly division ofOrioleInternational wants to purchase400units from machining. If the transaction takes place, the variable selling costs per unit on the units transferred to assembly will be $0/unit, and not $6/unit. What should be the transfer price in order not to affect the machining divisions current profit?(Round answer to 2 decimal places e.g.5.25.)
Minimum transfer price $enter the minimum transfer price in dollars rounded to 2 decimal placesIncorrect answer
eTextbook and Media
Save for Later
Attempts: 2 of 3 used
Submit Answer

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles of Accounting

Authors: Needles, Powers, crosson

11th Edition

1439037744, 978-1133626985, 978-1439037744

More Books

Students also viewed these Accounting questions