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I got decrease by 24. Is that right? View Policies Show Attempt History Current Attempt in Progress The machining division has a capacity of 4,000
I got decrease by 24. Is that right?
View Policies Show Attempt History Current Attempt in Progress The machining division has a capacity of 4,000 units. Its sales and cost data are: Selling price per unit Variable manufacturing costs per unit Variable selling costs per unit Total fixed manufacturing overhead $165 41 8 108,200 (a) Your answer is correct. The machining division currently sells 1,800 units to outside customers, and the assembly division wants to purchase 1,200 units from machining. If the transaction takes place, the variable selling costs per unit on the units transferred to assembly will be $0/unit, not $8/unit. What should be the transfer price in order not to affect its current profit? Minimum transfer price $ 41 e Textbook and Media Assistance Used Attempts: 2 of 3 used If the assembly division is currently buying from an outside supplier at $155 per unit, what will be the effect on overall company profits if internal sales for 1,200 units take place at the optimum transfer price? Overall company profits increase by $Step by Step Solution
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