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The fastener division of Southern Fasteners manufactures zippers and then sells them to customers for $7.88 per unit. Its variable cost is $3.44 per
The fastener division of Southern Fasteners manufactures zippers and then sells them to customers for $7.88 per unit. Its variable cost is $3.44 per unit, and its fixed cost per unit is $1.71. Management would like the fastener division to transfer 11,500 of these zippers to another division within the company at a price of $3.44. The fastener division could avoid $0.21 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 2 decimal places, eg. 10.50.) Minimum transfer price $ (b) Assuming the fastener division is operating at full capacity. (Round answer to 2 decimal places, e.g. 10.50.) Minimum transfer price $
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