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The fastener division of Oriole Fasteners manufactures zippers and then sells them to customers for $ 7 . 5 3 per unit. Its unit variable
The fastener division of Oriole Fasteners
manufactures zippers and then sells them to
customers for $ per unit. Its unit variable
cost is $ and its unit fixed cost is $
Management would like the fastener division to
transfer of these zippers to another
division within the company at a price of $
The fastener division could avoid $ per
zipper of variable packaging costs by selling
internally. Determine the minimum transfer
price.
a
Assuming the fastener division is not operating
at full capacity. Round answer to decimal
places eg
Minimum transfer price
$
b
Assuming the fastener division is operating at
full capacity. Round answer to decimal
places eg
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