Biology Forums - Study Force

Other Fields Homework Help Accounting Topic started by: carlvh37 on Jan 29, 2023



Title: Rivers Industries produces and sells electronic sound equipment. The company has production capacity ...
Post by: carlvh37 on Jan 29, 2023
Rivers Industries produces and sells electronic sound equipment. The company has production capacity of 20,000 units and currently production schedule is for 18,000 units. Each unit has a selling price of $25, variable product cost of $15, and variable selling cost of $2. Another division wishes to purchase 500 units. If Rivers sells the units to the other division, it will avoid $1 of the variable selling costs. What is the minimum transfer price that will maximize corporate profits?

▸ $15

▸ $16

▸ $25

▸ $17


Title: Rivers Industries produces and sells electronic sound equipment. The company has production capacity ...
Post by: hadu582 on Jan 29, 2023
Content hidden