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Question 26 Sabby Inc. has two divisions. The machining division has a capacity of 23,500 units and its selling price per unit is $39. It
Question 26 Sabby Inc. has two divisions. The machining division has a capacity of 23,500 units and its selling price per unit is $39. It has variable manufacturing costs per unit of $14, variable selling costs of $5 per unit, and fixed manufacturing overhead of $71,300. It currently produces and sals 22 500 units to ide customers. The assem 1 dms on would like to buy 700 units from machining fthe machining division does sell the units to the assambly dv aon it wil nat incur any vanabe selling costs. The assembly d aan is current buv ng these units from an outside company at $32 per unit. machining fthe machining diision incur any Your answer has been saved and sent for grading. See Gradebook for score details. Assuming machining accopts the minimum transfer price, what is the offoct an tha ovarall net income of the company? veral in in net income $ Attempts: 1 of 1 used (b) f the units being ordered by assembly are of a higher quality, resuiting in an increase in variable costs by another $16 per unit, what is the minimum transfer price that machining will accept? Minimum transfer price LINK TO TEXT Attempts: 0 of 1 used SAVE FOR LATERUBMIT
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