Required Information Problem 13-46 Comprehensive Transfer Pricing Problem; Ethics (LO 13-6, 13-7, 13-8) [The following information applies to the questions displayed below.) Clearview Window Company manufactures windows for the home-building industry. The window frames are produced in the Frame Division. The frames are then transferred to the Glass Division, where the glass and hardware are installed. The company's best-selling product is a three-by-four-foot, doublepaned operable window. The Frame Division also can sell frames directly to custom home builders, who install the glass and hardware. The sales price for a frame is $230. The Glass Division sells its finished windows for $560. The markets for both frames and finished windows exhibit perfect competition. The standard variable cost of the window is detailed as follows: Frame Division Glass Division Direct material Direct labor Variable overhead Total $ 48 50 72 $170 $ 72 48 72 $192 *Not including the transfer price for the frame. Problem 13-46 Part 1 Assume that there is no excess capacity in the Frame Division. Required: 1-a. Use the general rule to compute the transfer price for window frames. 1-5. Calculate the transfer price if it is based on standard variable cost with a 10 percent markup. 1-a. Transfer price Transfer price 1-b