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Home Q & A Board Other Fields Homework Help Business Accounting
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8 years ago
Atom, Inc. has a division that manufactures a component that sells for $150 and has a variable cost of $30. Another division of the company wants to purchase the component. Fixed cost per unit of the component is $20. What is the minimum transfer price if the division is operating at capacity?
A) $50
B) $20
C) $150
D) $30
Textbook 
Horngren's Financial & Managerial Accounting, The Financial Chapters

Horngren's Financial & Managerial Accounting, The Financial Chapters


Edition: 5th
Authors:
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#2
8 years ago
This was certainly a tough question, loving the expertise
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