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Starlord's Eastern Division is currently purchasing a part from an outside supplier. The company's Western Division, whi
Posted: Sun Jul 03, 2022 3:52 pm
by answerhappygod
- Starlord S Eastern Division Is Currently Purchasing A Part From An Outside Supplier The Company S Western Division Whi 1 (27.01 KiB) Viewed 10 times
Starlord's Eastern Division is currently purchasing a part from an outside supplier. The
company's Western Division, which has no excess capacity, makes and sells this part for external customers at a variable cost of $38 and a selling price of $76. If Western begins sales to Eastern, it will use the general transfer-pricing rule and will be able to reduce variable cost on internal transfer by $14. Western would establish a minimum transfer price of: (Do not round intermediate calculations. Round the final answer to the nearest two decimal places.)