The Windshield division of Jaguar Company makes windshields for use in its Assembly division. The Windshield...

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The Windshield division of Jaguar Company makes windshields for use in its Assembly division. The Windshield division incurs variable costs of $280 per windshield and has capacity to make 580,000 windshields per year. The market price is $595 per windshield. The Windshield division incurs total fixed costs of $3,400,000 per year. If the Windshield division is operating at full capacity, what transfer price should be used on transfers between the Windshield and Assembly divisions? Transfer price per windshield The Windshield division of Jaguar Company makes windshields for use in its Assembly division. The Windshield division incurs variable costs of $280 per windshield and has capacity to make 580,000 windshields per year. The market price is $595 per windshield. The Windshield division incurs total fixed costs of $3,400,000 per year. If the Windshield division is operating at full capacity, what transfer price should be used on transfers between the Windshield and Assembly divisions? Transfer price per windshield

Answer rating: 100% (QA)

Windshield division variable cost per unit 280 Market price per windshield 5... View the full answer