Determine the lowest transfer price

Assignment Help Managerial Accounting
Reference no: EM132418592

Part 43X costs the Southern Division of Norris Corporation $27 to produce. Making up that cost are direct materials of $9, direct labor of $5, variable manufacturing overhead of $10, and fixed manufacturing overhead of $3. Southern Division sells Part 43X to other companies for $32. The Northern Division of Norris Corporation can use Part 43X in one of its products. The Southern Division has enough idle capacity to produce all of the units of Part 43X that the Northern Division would require. What is the lowest transfer price at which the Southern Division should be willing to sell Part 43X to the Northern Division?

Reference no: EM132418592

Questions Cloud

What was the materials price variance for december : What was the materials price variance for December?
Do you feel that the creation of fusion centers has improved : Do you feel that the creation of fusion centers has improved information sharing of terrorism-related information at all three levels of government?
Case-raisin division of trail mix foods : The Raisin Division of Trail Mix Foods, Incorporated had the following operating results last year:
Write Executive Summary and Business description : Assignment - Write Executive Summary and Business description? The product is a spray for your feet so your feet don't sweat
Determine the lowest transfer price : Part 43X costs the Southern Division of Norris Corporation $27 to produce. Making up that cost are direct materials of $9, direct labor of $5
Discuss statesmanship as it relates to public administration : Discuss statesmanship as it relates to public administration reform and the future. Discuss the challenges and opportunities that a would-be statesman.
Future endeavors with a major in business administration : Explain, with examples, how decision making and analysis, with the tools from our course, may be of value to you and your future endeavors
Describe the impact or personality disorders on delinquency : Describe the impact or personality disorders on delinquency. Describe one social structure theory, one learning theory, and one social control theories.
Which costs are relevant to brad decision to purchase : Which costs are relevant to Brad's decision to purchase a new, larger boat?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Impact of the changes on the cost structure

The likely impact of the changes on the cost and profit structure of Jupiter Confectionery and calculate and discuss the likely impact of the changes on the cost structure of 'N&N's' our main competitor

  Evaluation of proposed capital investments

Tanashi Corporation's board of directors met to review a number of proposed capital investments that would improve the quality of company products.

  Prepare worksheet outlining transactions of high energt ltd

Accounting for Management M 5011 Problem Solving Assessment. Prepare a worksheet outlining the transactions of HIGH Energy Ltd in February and March 2016. Ignore tax

  Differentiating its product from competitors by offering

A company currently sells 60,000 units a month at $10 per unit. The marginal cost per unit is $6. The company is considering raising the price by 10% to $11. If the price elasticity of demand is _______________ in that price range, then profit wou..

  Computing-affecting break-even point

What kind of business decision might cause you to increase your fixed costs? Define variable costs. Will purchasing a new manufacturing facility increase fixed costs or variable costs?

  What was the amount of payments to suppliers of inventory

A company's inventory account increased $26,500 and its accounts payable account decreased $18,250 during the year. The accounts payable relates only to the acquisition of inventory. Sales were $789,500 and cost of goods sold was $532,700. What was t..

  Why the income tax payable not same as income tax expense

HI5020 Corporate Accounting Assignment. Why is the income tax payable not the same as income tax expense. What is firm tax expense in its financial statements

  The general fund of middleville has presented you with the

the general fund of middleville has presented you with the following trial balance as of june 30 2011.debitscreditscash

  Calculate the companys current income

Calculate the companys current income and determine the level of dollar sales needed to double that figure, assuming that manufacturing operations remain in the United States and determine the break-even point in speaker sets if operations are shif..

  Provide the journal entry for adams contribution

Provide the journal entry for Adams contribution to the partnership - Brittany Adams contributed a patent, accounts receivable, and $61,000 cash to a partnership. The patent had a book value of $56,000.

  Prepare an income statement and a balance sheet

The following transactions pertain to 2014, the first-year operations of Hall Company. All inventories was started and completed during 2014. Prepare an income statement and a balance sheet

  Calculate breakeven units and revenue for her total business

Prepare an Income Statement in Contribution Margin format for Sarah's business. Calculate breakeven units and revenue for her total business

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd