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Southern Pride Industries would like its Alabama Division to sell 30,000 units to its Arkansas Division for a price of $39. The Alabama Division is
Southern Pride Industries would like its Alabama Division to sell 30,000 units to its Arkansas Division for a price of $39. The Alabama Division is currently operating at capacity. Alabama Divisions unit variable cost is $24, unit fixed cost is $15, and unit selling price is $60. What is the minimum transfer price that the Alabama Division should accept?
| $36 |
|
| $39 |
|
| $24 |
|
| $60 |
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