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Author Question: The seller of a product has no idle capacity and can sell all it can produce at $40 per unit. Outlay ... (Read 65 times)

jman1234

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Question 1

The minimum transfer price equals ________.
◦ opportunity costs less the additional outlay costs
◦ opportunity costs times 125% plus the additional outlay costs
◦ opportunity costs divided by the additional outlay costs
◦ incremental costs plus opportunity costs

Question 2

The seller of a product has no idle capacity and can sell all it can produce at $40 per unit. Outlay cost is $19. What is the opportunity cost, assuming the seller sells internally?
◦ $19
◦ $21
◦ $40
◦ $59


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Marked as best answer by jman1234 on Mar 6, 2021

jaykayy05

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jman1234

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Reply 2 on: Mar 6, 2021
Excellent


apple

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

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