If Division A transferred 200 units to Division B for 25, what is the profit for Division B (if it then sold 200 units to an external customer, after the internal transfer) 400 0 9,600 5,000 Costs of Each Division Variable cost per unit Fixed Costs Transfer Price 25 A 5 15,000 B 3 10,000 Selling Price 35 30 25 Quantity 100 200 300

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Question: If Division A transferred 200 units to Division B for 25, what is the profit for Division B (if it then sold 200 units to

If Division A transferred 200 units to Division B for 25,

If Division A transferred 200 units to Division B for 25, what is the profit for Division B (if it then sold 200 units to an external customer, after the internal transfer)?

400
0
-9,600
-5,000

Costs of Each Division Variable cost-per-unit Fixed Costs Transfer Price = 25 A 5 15,000 B 3 10,000 Selling Price 35 30 25 Quantity 100 200 300

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