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Picture AutoSave OOH Bookl (version 1) - AutoRecovered - Excel Insert Data File Formulas Review Page Layout Home View Forr Help General X ID AA EE Wrap Text BIU...A. EEEE 2 Merge & Center Paste $ - % Clipboard Font Alignment Numb Picture 3 X M N B D G H Required Information (The following information applies to the questions displayed below) 2 4 5 6 7 8 FML Electronics (FMI) produces electronic components in three divisions industrial, commercial and consumer products The commercial products division annually purchases 13,600 units of part 23-6711, which the industrial division produces for use in manufacturing one of its own products. The commercial division is experiencing rapid growth. They are expanding their production and now wants to increase purchases of part 23-6711 to 18,600 units per year However, the Industrial division is at full capacity. No new Investment in the industrial division has been made for some years because top management sees little future growth in its products, so its capacity is unlikely to increase soon 9 10 11 The commercial division can buy part 23-6711 from Advanced Micro Inc (AMI) or from Admiral Electric (AE), a customer of 12 the industrial division now purchasing 830 units of part 88-461. The industrial division's sales to Admiral would not be 13 affected by the commercial division's decision regarding part 23-6711 14 15 Industrial Division 16 Data on part 23-6711 17 Price to commercial division 5 257 Variable manufacturing costs 173 18 Price to outside buyers 241 13 Data on part 38-461 20 Variable manufacturing costs 5 65 Sales price 95 21 Other Suppliers of Part 23-6711 22 Advance Micro The price $ 236 23 Admiral Electric, price 246 24 25 Required: 26 1 What is the proper decision regarding where the commercial division should purchase the additional 5.000 parts, and what is th 27 correct transfer price? 28 2. Assume that the industrial division's sales to Admiral will be canceled if the commercial division does not buy from Admiral Who 29 would be the unit cost to FMI in this case and would the desired transfer price change? 30 31 Complete this question by entering your answers in the tabs below. Sheet1 Q2 Q3 1 e RSA Required: 1. What is the proper decision regarding where the commercial division should see on 000 parts, 27 correct transfer price 202. Assume that the vidustrial division's sales to Admiral will be canceled if the commercial divisions of buy from would be the wint cost to FMI in this case, and would the dewed Vansfer price than 30 31 Complete the question by entering your owers for the below > 34 35 Rewired 1 Required 2 34 7 What is the proper decision regarding where the commercial on the purchase anional 5,00), and what is 30 the correct transfer price? 40 40 Cost FM De per 42 Transfer price 44 faquead > 45 Required: 1 What is the proper decision regarding where the commercial on should purchase the additional 5.000 parts and whe correct transfer price! 2. Assume that the industrial division's tales to Admiral will be canceled the condition does not from Admira 4s would be the unit cost to FM in this case and would the desired transfer price change 41 50 Complete this question by entering your answers in the tabs below 51 52 5) 54 Required: ered2 55 56 Assume that the industrial division's sales to Admiral will be canceled the commercial din does not buy hom dat What would be the costs in this case, and would the desire transfer price change and your answer decat places 57 50 59 60 61 62 64 65 66 67 Sheet1 02 Q3 -- RSA esc 62 Picture AutoSave OOH Bookl (version 1) - AutoRecovered - Excel Insert Data File Formulas Review Page Layout Home View Forr Help General X ID AA EE Wrap Text BIU...A. EEEE 2 Merge & Center Paste $ - % Clipboard Font Alignment Numb Picture 3 X M N B D G H Required Information (The following information applies to the questions displayed below) 2 4 5 6 7 8 FML Electronics (FMI) produces electronic components in three divisions industrial, commercial and consumer products The commercial products division annually purchases 13,600 units of part 23-6711, which the industrial division produces for use in manufacturing one of its own products. The commercial division is experiencing rapid growth. They are expanding their production and now wants to increase purchases of part 23-6711 to 18,600 units per year However, the Industrial division is at full capacity. No new Investment in the industrial division has been made for some years because top management sees little future growth in its products, so its capacity is unlikely to increase soon 9 10 11 The commercial division can buy part 23-6711 from Advanced Micro Inc (AMI) or from Admiral Electric (AE), a customer of 12 the industrial division now purchasing 830 units of part 88-461. The industrial division's sales to Admiral would not be 13 affected by the commercial division's decision regarding part 23-6711 14 15 Industrial Division 16 Data on part 23-6711 17 Price to commercial division 5 257 Variable manufacturing costs 173 18 Price to outside buyers 241 13 Data on part 38-461 20 Variable manufacturing costs 5 65 Sales price 95 21 Other Suppliers of Part 23-6711 22 Advance Micro The price $ 236 23 Admiral Electric, price 246 24 25 Required: 26 1 What is the proper decision regarding where the commercial division should purchase the additional 5.000 parts, and what is th 27 correct transfer price? 28 2. Assume that the industrial division's sales to Admiral will be canceled if the commercial division does not buy from Admiral Who 29 would be the unit cost to FMI in this case and would the desired transfer price change? 30 31 Complete this question by entering your answers in the tabs below. Sheet1 Q2 Q3 1 e RSA Required: 1. What is the proper decision regarding where the commercial division should see on 000 parts, 27 correct transfer price 202. Assume that the vidustrial division's sales to Admiral will be canceled if the commercial divisions of buy from would be the wint cost to FMI in this case, and would the dewed Vansfer price than 30 31 Complete the question by entering your owers for the below > 34 35 Rewired 1 Required 2 34 7 What is the proper decision regarding where the commercial on the purchase anional 5,00), and what is 30 the correct transfer price? 40 40 Cost FM De per 42 Transfer price 44 faquead > 45 Required: 1 What is the proper decision regarding where the commercial on should purchase the additional 5.000 parts and whe correct transfer price! 2. Assume that the industrial division's tales to Admiral will be canceled the condition does not from Admira 4s would be the unit cost to FM in this case and would the desired transfer price change 41 50 Complete this question by entering your answers in the tabs below 51 52 5) 54 Required: ered2 55 56 Assume that the industrial division's sales to Admiral will be canceled the commercial din does not buy hom dat What would be the costs in this case, and would the desire transfer price change and your answer decat places 57 50 59 60 61 62 64 65 66 67 Sheet1 02 Q3 -- RSA esc 62