The Alpha Division of a company,which is operating at capacity,produces and sells 1,000 units of a certain electronic component in a perfectly competitive market.Revenue and cost data are as follows: (CIA adapted) The minimum transfer price that should be charged to the Beta Division of the same company for each component is:
A)$12.
B)$34.
C)$46.
D)$50.

Question

The Alpha Division of a company,which is operating at capacity,produces and sells 1,000 units of a certain electronic component in a perfectly competitive market.Revenue and cost data are as follows: (CIA adapted)  The minimum transfer price that should be charged to the Beta Division of the same company for each component is:
A)$12. 
B)$34. 
C)$46. 
D)$50.

Quizplus · Accepted Answer

The Answer of The Alpha Division of a company,which is operating at capacity,produces and sells 1,000 units of a certain electronic component in a perfectly competitive market.Revenue and cost data are as follows: (CIA adapted)  The minimum transfer price that should be charged to the Beta Division of the same company for each component is:
A)$12. 
B)$34. 
C)$46. 
D)$50.

The Alpha Division of a Company,which Is Operating at Capacity,produces