Business, 14.12.2019 06:31 mommer2019
The rubber division of morgan company manufactures rubber moldings and sells them externally for $50. its variable cost is $20 per unit, and its fixed cost per unit is $7. morgan's president wants the rubber division to transfer 5,000 units to another company division at a price of $27.
assuming the rubber division has available capacity of 5,000 units, the minimum transfer price it should accept is
a. $7.
b. $20.
c. $27.
d. $50.
Answers: 2
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The rubber division of morgan company manufactures rubber moldings and sells them externally for $50...
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