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Kimber Corp. has the following information related to Product K56: Production capacity 2,000 units Price to buy/sell externally $310 Cost per unit: Direct material $
Kimber Corp. has the following information related to Product K56: Production capacity 2,000 units Price to buy/sell externally $310 Cost per unit: Direct material $ 30 Variable direct labour 10 Variable overhead 20 Fixed overhead 5 Total cost $ 65 An internal customer would like to buy the entire production capacity of 2,000 units of Product K56. Which one of the following is the buyer's maximum acceptable transfer price per unit? Question 3 options: a) $60 b) $65 c) $310 d) Indeterminable
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