Mckenna florida division is currently purchasing a part


McKenna Florida Division is currently purchasing a part from an outside supplier. the company 's, Alabama Division which has excess capacity, makes and sells this part for external customers at a variable cost of $22 and selling price of $34. if Alabama begins sales to Florida, it (1)will use the general transfers-pricing rule and (2)will be able to reduce variable cost on internal transfers by $4. if sales to outsiders will Not be affected, Alabama would establish a transfer price of:

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Mckenna florida division is currently purchasing a part
Reference No:- TGS01570239

Expected delivery within 24 Hours