Question: 233/question Question 5 of 9 Current Attempt in Progress -/1 i The Lumber Division of Coronado Industries produces and sells lumber that can be sold

 233/question Question 5 of 9 Current Attempt in Progress -/1 i

233/question Question 5 of 9 Current Attempt in Progress -/1 i The Lumber Division of Coronado Industries produces and sells lumber that can be sold to outside customers or within the company to the Construction Division. The following data have been gathered for the coming period: 160000 board feet $4.50 Lumber Division: Capacity Price per board foot Variable production cost per bd. ft. Variable selling cost per bd. ft. Construction Division: Board feet needed Outside price paid per bd. ft $1.25 $0.50 30000 $4 If the Lumber Division sells to the Construction Division, 50.35 per board foot can be saved in shipping costs. If current outside sales are 80000 board feet, what is the minimum transfer price that the Lumber Division could accept? $4.50 $1.25 $1.40 $1.75 on

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