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Management of the Carla Vista Company would like the Food Division to transfer 10900 cans of its final product to the Restaurant Division for $90.
Management of the Carla Vista Company would like the Food Division to transfer 10900 cans of its final product to the Restaurant Division for $90. The Food Division sells the product to customers for $195 per unit. The Food Division's variable cost per unit is $75 and its fixed cost per unit is $15. The Food Division is currently operating at full capacity. What is the minimum transfer price the Food Division should accept? $15$90$75$195
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