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Question 1 3 Using the general guideline, what should be the lowest acceptable transfer price from the perspective of Division A ? O $ 1
Question Using the general guideline, what should be the lowest acceptable transfer price from the perspective of Division AO $O $ $O the price that would make the buying division indifferentQuestion If the company were to follow the general guideline, would the transfer be made between the divisions? No A would not be willing to sell at the transfer price suggested by the general guideline Yes There is not sufficient information to answer the question No division B wouldn't accept the transfer at the price suggested by the general guidelineQuestion What is the difference in total income for the firm as a whole between Division A transferring units to Division B or the transfer not occurring? The net income would be the same under both scenarios $ $ $
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