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The assembly department of Culver Inc. has negotiated a deal with the distribution department (internal department) to sell it laser printers. The assembly department
The assembly department of Culver Inc. has negotiated a deal with the distribution department (internal department) to sell it laser printers. The assembly department has operating capacity of 76100 printers annually and has made the following external sales: Sales (76100 units) Direct Materials $385700 50800 Direct Labor 89600 Variable Overhead 94700 Fixed Overhead 116200 The negotiated deal will be to sell 20100 printers to the distribution department for the minimum acceptable transfer price. If the distribution department would like to have gross margin of $10200 from this deal, then what is the overall amount of sales that distribution department must have? (Do not round intermediate calculations.) O $112373.46 O $142773.46 O $101907.00 O $112073.46
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