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Question 26 Use the information from Q24 to answer the following: Nhat is the minimum transfer price per unit for the 25,000 unit order that
Question 26 Use the information from Q24 to answer the following: Nhat is the minimum transfer price per unit for the 25,000 unit order that the Day Wear Division would accept if it wishes to maintain its pre-order contribution Question 24 2 pts Frocks and Gowns, Inc. has two divisions. Day Wear and Night Wear. The Day Wear Division has an investment base of $750.000 and produces (and sells) 100.000 units of Collars at a market price of $10.00 per unit. Variable costs total $3.50 per unit, and fixed charges are $4.00 per unit (based on a capacity of 120.000 units). The Night Wear Division wants to purchase 25.000 units of Collars from The Day Wear Division. However, the Night Wear Division is only willing to pay $6.75 per unit. What is the contribution margin for the Day Wear Division without the transfer to the Night Wear Division
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