Pharoah Company produces and sells home-ground wheat flour. The flour mill division sells to the general public in its o

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answerhappygod
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Pharoah Company produces and sells home-ground wheat flour. The flour mill division sells to the general public in its o

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Pharoah Company produces and sells home-ground wheat flour.
The flour mill division sells to the general public in its outlet
store located at the mill. The mill division also is the supplier
of flour for its bakery division located across the street from the
flour mill. The following information has been collected
by Pharoah’s controller for the flour mill division:
The bakery needs 6,600 pounds of flour. If the flour mill
transfers flour to the bakery, it can avoid $0.09 of the
variable selling cost.
the flour mill can only sell 12,600 pounds at its
outlet store to outside customers, what is the lowest acceptable
transfer price per pound that the flour mill division should
accept?
$ 0.31 per pound
i need the answer for this one
If the flour mill can sell all 20,600 pounds at its
outlet store to outside customers, what is the lowest acceptable
transfer price per pound the flour mill division should
accept?
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