Cominsky Products, Inc., has a Screen Division that manufactures and sells a number of products, including a standard screen. Data concerning that screen appear below:
The company has a Home Security Division that could use this screen in one of its products. The Home Security Division is currently purchasing 6,000 of these screens per year from an overseas supplier at a cost of $96 per screen.
Required:
Assume that the Screen Division is selling all of the screens it can produce to outside customers. What is the acceptable range, if any, for the transfer price between the two divisions?
Definitions:
Shape Style
Preset visual properties applied to shapes in graphic design software, including borders, fills, and effects.
Shape Fill
The feature in graphics software that allows users to fill the interior of a shape with color, patterns, or textures.
Shape Outline
The exterior line or edge that defines the boundary of a shape in graphic design, presentations, or documents, often customizable in color, width, and style.
Text Wrapping
A feature in word processing and graphic design software that allows text to flow around pictures, shapes, or other objects in a document.
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