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The Orange Division of Citrus Corp. manufactures and sells its juicers for $110.00 per unit. Each juicer sold externally yields a $60.00 contribution margin. Orange's
The Orange Division of Citrus Corp. manufactures and sells its juicers for $110.00 per unit. Each juicer sold externally yields a $60.00 contribution margin. Orange's fixed costs per unit are $14.00. The Lemon Division wants to purchase 5,000 juicers at $64.00 per unit. Orange can save $6.00 by selling internally to Lemon. If Orange is already operating at full capacity, what is the minimum transfer price it should accept? Select answer from the options below $54 $104 $110 $58
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