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L DO1 Final Exam W2023 - Requires Respondus LockDown Browser Time Left 2:50 08 Yashpreet Singh Attempt : Question. 4 (part I of 2) GinFizz
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DO1 Final Exam W2023 - Requires Respondus LockDown Browser Time Left 2:50 08 Yashpreet Singh Attempt : Question. 4 (part I of 2) GinFizz Led printures kitchen tools, and operates several divisions ne profit centers Division Mondacam product that it sells to other companies for $16 per unit. It hail a maximum Espacity of 43.000 units per year, Variable manufacturing cost is $9 per unit, and variable marketing cost is 34 per unit Toul fixed manufacturing overhead is $200,000. and fixed marketing costs are $60,009. Division N of GinFizz Lid, is planning to produce an innovative new tool that requires the use of DivLion M's product (or one very similar) Division N will require 30,090 units of Division M's product. Currently. Division N can purchase a product equivalent to Division M's from Company X for $15 per unit. Ihowever, GoFizz Led. is considering transferring the necessary product from Division M to Division N. Required: a. Assume Division M is operating at full capacity of 15.090 units per year and Division N accepts no partial order What would be the minimum and maximum transfer price? Should the transfer take place? iragraph B IUVA EVEY + vStep by Step Solution
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