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Business, 18.05.2021 18:30 PastelHibiscus
The materials used by Hibiscus Company's Division A are currently purchased from an outside supplier at $55 per unit. Division B is able to supply Division A with 20,500 units at a variable cost of $49 per unit. The two divisions have recently negotiated a transfer price of $50 per unit for the 20,500 units. Enter an increase as a positive number and a decrease as a negative number. a. By how much will each division's income increase as a result of this transfer? Division A $fill in the blank 1 Division B $fill in the blank 2 b. What is the total increase in income for Hibiscus Company?
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The materials used by Hibiscus Company's Division A are currently purchased from an outside supplier...
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