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Spirit Manufacturing is a division of Crane Communications, Inc. Spirit produces cell phones and sells these phones to other communication companies, as well as to

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Spirit Manufacturing is a division of Crane Communications, Inc. Spirit produces cell phones and sells these phones to other communication companies, as well as to Crane. Recently, the vice president of marketing for Crane approached Spirit with a request to make 20,800 units of a special cell phone that could be used anywhere in the world. The following information is available regarding the Spirit division: Selling price of regular cell phone $104 Variable cost of regular cell phone 52 Additional variable cost of special cell phone 40 Indicate whether the internal transfer should occur for each of the following scenarios: (a 1) The marketing vice president offers to pay Spirit $112 per phone. Spirit has available capacity. Calculate the minimum transfer price. Minimum transfer price $ Indicate whether the internal transfer should occur for the above situation. The offer should be V. a2) "he parts of this question must be completed in order. This part will be available vhen you complete the part above. a3) The marketing vice president offers to pay Spirit $112 per phone. Spirit has no available capacity and would have to forgo sales of 20,800 phones to existing customers to meet this request. Calculate the minimum transfer price. Minimum transfer price $ Indicate whether the internal transfer should occur for the above situation. The offer should be V

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