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RHCP12 RHCP12
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A month ago
The Assembly Division of Mounds Corporation makes a component part that the Packaging Division needs to purchase. The Assembly Division's variable cost of manufacturing the component is $25 per unit. The component is also available on the open market at a price of $52. The Packaging Division needs 800 units of the component and the Assembly Division has excess capacity of 1,000 units.

Required:

a.Calculate the total cost-based-transfer price that the Assembly division should charge
the Packaging division.
b.Calculate the total market-based transfer price that the Assembly division should
charge
the Packaging division.
Textbook 
Managerial Accounting

Managerial Accounting


Edition: 4th
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fujiokifujioki
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A month ago
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More solutions for this book are available here
a.$25 × 800 units = $20,000
b.$52 × 800 units = $41,600
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RHCP12 Author
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A month ago
Good timing, thanks!
hmonier
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Yesterday
This helped my grade so much Perfect
Alina01978
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2 hours ago
Brilliant ツ
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