Exercise 10-21 Ayayal Corporation makes power tools. The Power division makes a battery that the Small Tools division needs for a new product. The Power division variable cost of manufacturing the component is $5 per unit. The component is also available on the open market at a price of $11 per unit. The Sma Tools division needs 59,900 motors per year. If the Power Division has adequate excess capacity to supply the 49,900 motors, what is the minimum transfer price? Minimum transfer price $ If the Power Division has adequate excess capacity to supply the 49,900 motors, what is the range of prices that is likely to be acceptable to both the Power division and the Small Tools division? Between $ and $ Click if you would like to Show Work for this question: Open Show Work
bigthoughtwritingservices is a unique service that provides guidance with different types of content. Please rest assured that the service is absolutely legal and doesn’t violate any regulations. It can be used for generating new ideas and thoughts for your own project, additional insight into the subject, or encouragement for further researches.