Question: Iwl - x Data Table -S, A mi er oth The manager of division B has made the following calculation: arke $ 340 e dal

 Iwl - x Data Table -S, A mi er oth The
manager of division B has made the following calculation: arke $ 340
e dal Selling price for final product Transferred-in cost per unit (market)
$ 250 130 380 Incremental cost per unit for completion igr $
(40) sing the "O" in Contribution (loss) on product et (mark Print
Done edit field Wheely, Inc., has two divisions, A and B, that
manufacture expensive bicycles. Division A produces the frame. There is a market

Iwl - x Data Table -S, A mi er oth The manager of division B has made the following calculation: arke $ 340 e dal Selling price for final product Transferred-in cost per unit (market) $ 250 130 380 Incremental cost per unit for completion igr $ (40) sing the "O" in Contribution (loss) on product et (mark Print Done edit field Wheely, Inc., has two divisions, A and B, that manufacture expensive bicycles. Division A produces the frame. There is a market for both the subassembly and the final product. Each division has been design set at the long-run average market price. The following data are available for each division: (Click the icon to view the data.) Read the requirements. Complete the table below using the transfer price of $210 to compute the contribution margin to division balance, make sure to enter "O" in the appropriate cell.) Selling price for final product Transferred-in cost per unit (market) Enter any number in the edit fields and then click Check Answer. Help Me Solve This e Text Pages Get More Help Division A produces the bicycle frame, and division B assembles the rest of the bicycle onto the division has been designated as a profit center. The transfer price for the subassembly has been ach division: ... ribution margin to division B. (Use parentheses or a minus sign for a loss. For amounts with a $0 Clear All Check Answer ... Read the requirements. Selling price for final product Transferred-in cost per unit (market) Incremental cost per unit for completion Contribution margin (loss) on product Enter any number in the edit fields and then click Check Answer. br a loss. For 3. Suppose division A quoted a transfer price of $210 for up to 800 units. What would be the contribution to the company as a whole if a transfer were made? As manager of division B, would you be inclined to buy at $210? Explain. 4. Suppose the manager of division A has the option of (a) cutting the external price to $242, with the certainty that sales will rise to 2,000 units, or (b) maintaining the external price of $250 for the 1,200 units and transferring the 800 units to division B at a price that would produce the VZTO! Lapram. 4. Suppose the manager of division A has the option of (a) cutting the external price to $242, with the certainty that sales will rise to 2,000 units, or (b) maintaining the external price of $250 for the 1,200 units and transferring the 800 units to division B at a price that would produce the same operating income for division A. What transfer price would produce the same operating income for division A? Is that price consistent with that recommended by the general guideline so that the resulting decision would be desirable for the company as a whole

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