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one question Exercise 13-14 The Bathtub Division of Kirk Plumbing Corporation has recently approached the Faucet Division with a proposal. The Bathtub Division would like
one question Exercise 13-14 The Bathtub Division of Kirk Plumbing Corporation has recently approached the Faucet Division with a proposal. The Bathtub Division would like to make a special "Ivory tub with gold-plated foxtures for the company's 50-year anniversary. It would make only 4,600 of these units. It would like the Faucet Division to make the foxtures and provide them to the Bathtub Division at a transfer price of $160. If sold externally, the estimated variable cost per unit would be $130. However, by selling internally, the Faucet Division would save $6 per unit on variable selling expenses. The Faucet Division is currently operating at full capacity. Its standard unit sells for $41 per unit and has variable costs of $33. Compute the minimum transfer price that the Faucet Division should be willing to accept Minimum transfer price $ Should they accept this offer? They this offer Rap Corporation produces outdoor portable fireplace units. The following per unit cost information is available: direct materials $23, direct labor $26, variable manufacturing overhead $16. fed manufacturing overhead $15, variable selling and administrative expenses $10, and foed selling and administrative expenses $14. The company's ROI per unit is $28. Compute Rap Corporation's markup percentage using absorption cost pricing Absorption-costaricing marloup percentage Compute Rap Corporation's markup percentage using variable-cost pricing (Round answer to 2 decimal places, ... 10.50%) Variable-cost pricing markup percentage
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