Determine the minimum unit price that C can sell A's product for.
Determine the minimum transfer price from A to B.

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Jaycee Corporation presented the following information for its three departments for the past month. Departments A and B are manufacturing departments, whereas C is distribution. Production level of A Sales price to C A's variable cost Total fixed cost (A+B) C's marketing cost C's selling price Significantly below capacity P 50 per unit P 20 per unit P 120,000 10 percent of SP Market value Jaycee Corporation presented the following information for its three departments for the past month. Departments A and B are manufacturing departments, whereas C is distribution. Production level of A Sales price to C A's variable cost Total fixed cost (A+B) C's marketing cost C's selling price Significantly below capacity P 50 per unit P 20 per unit P 120,000 10 percent of SP Market value

Answer rating: 100% (QA)

Solution To decide the base unit value that Division C can sell Office Ans item for and the base exchange cost from Division A to Office B we want to ... View the full answer