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The Can Division of Sunland Company manufactures and sells recyclable containers externally for $1.07 per container. Its unit variable costs and unit fixed costs are
The Can Division of Sunland Company manufactures and sells recyclable containers externally for $1.07 per container. Its unit variable costs and unit fixed costs are $0.24 and $0.08, respectively. The Packaging Division wants to purchase 50,000 containers at $0.41 per unit. Selling internally will save $0.05 a container. Assuming that the Can Division has sufficient capacity, what is the minimum transfer price it should accept? $0.24 $0.19 $0.36 O $0.41
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