Business, 07.04.2020 23:51 piper64bsj

The fastener division of Southern Fasteners manufactures zippers and then sells them to customers for $7.60 per unit. Its variable cost is $3.01 per unit, and its fixed cost per unit is $1.28. Management would like the fastener division to transfer 11,600 of these zippers to another division within the company at a price of $3.01. The fastener division could avoid $0.41 per zipper of variable packaging costs by selling internally. Determine the minimum transfer price. (a) Assuming the fastener division is not operating at full capacity. (Round answer to 2 decimal places, e. g. 10.50.) Minimum transfer price $ 7.60 (b) Assuming the fastener division is operating at full capacity. (Round answer to 2 decimal places, e. g. 10.50.) Minimum transfer price $

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