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Overton Company uses cost - based transfer pricing. Its Food Processing Division has a standard variable cost of $ 1 0 . 1 0 per
Overton Company uses costbased transfer pricing. Its Food Processing Division has a standard variable cost of $ per case and allocated fixed overhead of $ The Processing Division, which has excess capacity, sells its output to external customers for $ per case. If Overton uses full or absorption cost as its base, what should the transfer price charged to its Retail Division be:
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