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View Policies Current Attempt in Progress Carla Vista International Corporation has two divisions, beta and gamma. Beta produces an electronic component that sells for $

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Current Attempt in Progress
Carla Vista International Corporation has two divisions, beta and gamma. Beta produces an electronic component that sells for $78 per unit, with the following costs based on its capacity of 210,300 units:
Direct materials $25
Direct labour ,13
Variable overhead 4
Fixed overhead ,13
Beta is operating at 75% of normal capacity and gamma is purchasing 18,000 units of the same component from an outside supplier for $75 per unit.
(a)
Calculate the benefit, if any, to beta in selling to gamma 18,000 units at the outside supplier's price.
Benefit
per unit
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