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NEX 1 CALCULATOR PRINTER VERSION BACK Exercise 10-22 Your answer is partially correct. Try again. The Fabricating division makes a component part that the Assembly
NEX 1 CALCULATOR PRINTER VERSION BACK Exercise 10-22 Your answer is partially correct. Try again. The Fabricating division makes a component part that the Assembly division needs for a new product. The Fabricating division's variable cost of manufacturing the component is $22 per unit. The component is also available on the open market at a price of $56 per unit. The Assembly division needs 905 units per year, and the Fabricating division has excess capacity of 1,000 units. (a) Calculate the cost-based transfer price that the Fabricating division should charge the Assembly division. Cost based transfer price (b) Calculate the market-based transfer price that the Fabricat ng disin should charge the Assembly division. Market based tranfer price
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