This topic contains a solution. Click here to go to the answer

Author Question: The Fabrication Division of American Car Company has offered to purchase 90,000 batteries from the ... (Read 75 times)

rmenurse

  • Hero Member
  • *****
  • Posts: 513
The Fabrication Division of American Car Company has offered to purchase 90,000 batteries from the Electrical Division for $104 per unit. At a normal volume of 250,000 batteries per year, production costs per battery are as follows: 

Direct materials$ 40
Direct manufacturing labor30
Variable factory overhead12
Fixed factory overhead40
   Total$112

The Electrical Division has been selling 250,000 batteries per year to outside buyers at $136 each; capacity is 350,000 batteries per year. The Fabrication Division has been buying batteries from outside sources for $130 each. 

Required: 
a.Should the Electrical Division manager accept the offer? Explain. 
b.From the company's perspective, will the internal sales be of any benefit? Explain. 


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by rmenurse on Mar 6, 2021

yahahah24021

  • Sr. Member
  • ****
  • Posts: 323
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 29% of students answer this correctly




rmenurse

  • Member
  • Posts: 513
Reply 2 on: Mar 6, 2021
:D TYSM


lkanara2

  • Member
  • Posts: 329
Reply 3 on: Yesterday
Gracias!

 

Did you know?

Throughout history, plants containing cardiac steroids have been used as heart drugs and as poisons (e.g., in arrows used in combat), emetics, and diuretics.

Did you know?

Chronic marijuana use can damage the white blood cells and reduce the immune system's ability to respond to disease by as much as 40%. Without a strong immune system, the body is vulnerable to all kinds of degenerative and infectious diseases.

Did you know?

Critical care patients are twice as likely to receive the wrong medication. Of these errors, 20% are life-threatening, and 42% require additional life-sustaining treatments.

Did you know?

All adults should have their cholesterol levels checked once every 5 years. During 2009–2010, 69.4% of Americans age 20 and older reported having their cholesterol checked within the last five years.

Did you know?

Cyanide works by making the human body unable to use oxygen.

For a complete list of videos, visit our video library