Sandler Company Makes Internal Transfers at 180% of Full Cost

question 140

Multiple Choice

Sandler Company makes internal transfers at 180% of full cost.The Soda Refining division purchases 30,000 containers of carbonated water per day, on average, from a local supplier who delivers the water for $32 per container via an external shipper.To reduce costs, the company located an indepen?dent producer in Ohio who is willing to sell 30,000 containers at $20 each, delivered to Sandler Company's shipping division in Ohio.The company's Shipping Division in Ohio has excess capacity and can ship the 30,000 containers at a variable cost of $2.50 per container._____ is the total cost to Sandler Company if the carbonated water is purchased from the local supplier.

• A)$960,000
• B)$1,200,000
• C)$1,501,000
• D)$1,620,000

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Definitions:

Criminal Intruder

An individual who unlawfully enters a space with the intent to commit a criminal offense.

Proximate Cause

A legal concept that relates the actions of a party to the consequences faced by another, establishing a direct link between the conduct and the injury.

Actual Cause

Also known as "cause in fact," it refers to a direct action that resulted in harm or damage, forming a necessary link between the injury and the defendant's actions.

Unforeseeable Intervening

Events or circumstances that occur after the defendant's act that could not have been predicted and which change the outcome of that act.