The refining division sells the 200 barrels at a price of


Question - Assume 200 barrels are transferred from the Production Division to the Refining Division for a transfer price of $6 per barrel. The Refining Division sells the 200 barrels at a price of $40 each to customers. What is the operating income of both divisions together?

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Accounting Basics: The refining division sells the 200 barrels at a price of
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