Business, 09.03.2021 01:40 natishtaylor1p8dirz
The Molding Division of Cotwold Company manufactures a plastic casing used by the Assembly Division. This casing is also sold to external customers for $27 per unit. Variable costs for the casing are $14 per unit and fixed cost is $3 per unit. Cotwold executives would like for the Molding Division to transfer 10,000 units to the Assembly Division at a price of $19 per unit. Assume the Molding Division is operating at full capacity. Required: 1. Should it accept the transfer price proposed by management
Answers: 3
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The Molding Division of Cotwold Company manufactures a plastic casing used by the Assembly Division....
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