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Author Question: Lakeside Industries' operates as a decentralized organization. Its tent division manufactures small ... (Read 35 times)

mmmmm

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on: Feb 5, 2023
Lakeside Industries' operates as a decentralized organization. Its tent division manufactures small camping tents. The fabricating division manufactures one component needed by the tent division. The tent division has been purchasing the component from an outside supplier, but top management has conducted a study and believes the company could substantially cut costs by all divisions purchasing any components made by other divisions internally rather than an outside source. Detailed unit cost for the fabricating component needed to make tents is given below:


Price charged to regular customers$32.00
Direct material$8.00
Direct labor4.00
Manufacturing overhead    6.00
Total cost per unit$18.00

The manufacturing overhead is 60% fixed and 40% variable.

Required:

a.What is the transfer price if Lakeside uses the market-based price?
b.What is the minimum transfer price?
Managerial Accounting ¦ Davis ¦ 4th Edition
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Marked as best answer by mmmmm on Feb 5, 2023

wangyichun

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Reply #1 on: Feb 5, 2023
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.
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mmmmm

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Reply 2 on: Feb 5, 2023
Great answer, keep it coming :)

abro1885

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

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