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Q 21.27: The Denton Division of Luke Corp. manufactures and sells its widgets for $1.20 per unit. Its unit variable cost and unit fixed costs
Q 21.27: The Denton Division of Luke Corp. manufactures and sells its widgets for $1.20 per unit. Its unit variable cost and unit fixed costs are $.48 and $.16, respectively. The Ranch Division wants to purchase 50,000 units at 5.64 per unit. Denton can save $.04 by selling to Ranch. If Denton has excess capacity, what is the minimum transfer price it should accept? A $.48 B 5.64 C 5.60 D $.44 Ste
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