Not sure which numbers to plug in where within the worksheet. Can you explain which ones?

Phipps manufactures circuit boards in Division A, a country with a 30% income tax rate, and transfers them to Division B, a country with a 40% income tax. An import duty of 15% of the transfer price is paid on all imported products. The import duty is not deductible in computing taxable income. The circuit boards' full cost is $1,000 and variable cost is $700; they are sold by Division B for $1,200. The tax authorities in both countries allow firms to use either variable cost or full cost as the transfer price.

HINTS/HELP/ ADDITIONAL INSTRUC Week 4 Application Full Cost Division A Taxes: Low Country Taxes Transfer Price Less Cost Taxable Income Income taxes (or refund) 30% Division B Taxes:High Country Txes Sales Price Less Transfer Price Taxable Income Income Taxes 40% Import Duty (15% x transfer price) Taxes in High Country 1000 1000 Variable Cost 700 700 This is the same number for both full cost and This will be recalculated automatically once yo This will be 30% of line 8 for each This number is the same for both full cost and 1000 -1000 700 -700 150 150 105 105 Total Taxes This will recalculate automatically once you in This will be 40% of line 14 for each This will recalculate automatically once lines 1 the Net of Line 17 and line 9 The Yellow cells are input cells. The gray cells will be calculated based on your input. Total Taxes equal line 9 plus line 17. LP/ ADDITIONAL INSTRUCTIONS BELOW ber for both full cost and variable cost ted automatically once you input the cost ne 8 for each ame for both full cost and variable cost automatically once you input the Sales Price ne 14 for each automatically once lines 12 and 15 are input based on your input