Use the Following Information to Answer Questions
Division a Produces

question 31

Multiple Choice

Use the following information to answer questions
Division A produces a product that it sells to the outside market.It has compiled the following:
$$\begin{array} { l l } \text { Variable manufacturing cost per unit } & \$ 10 \\\text { Variable selling costs per unit } & \$ 3 \\\text { Total fixed manufacturing costs } & \$ 150,000 \\\text { Total fixed selling costs } & \$ 30,000 \\\text { Per unit selling price to outside buyers } & \$ 40 \\\text { Capacity in units per year } & 30,000\end{array}$$
-Division B of the same company is currently buying an identical product from an outside provider for $38 per unit.It wishes to purchase 5,000 units per year from Division A.Division A is currently selling 25,000 units of the product per year.If the internal transfer is made, Division A will not incur any selling costs.What would be the minimum transfer price per unit that Division A would be willing to accept?

• A)$10
• B)$11
• C)$38
• D)$40

Understand the psychological constructs related to self-evaluation, including self-concept, self-esteem, and social comparison.

Explore the nuances of cultural assimilation, multiculturalism, and identity models as they relate to societal integration.

Investigate psychological research findings on developmental stages and their relation to personal and career growth.

Grasp the influence of ethnic, gender, and cultural backgrounds on self-perception and societal interaction.

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Definitions:

FUTA

The Federal Unemployment Tax Act, a United States federal law that imposes a payroll tax on businesses to fund state workforce agencies.

SUTA

SUTA, or State Unemployment Tax Act, is a taxation mechanism in the United States that mandates employers to pay a tax to fund unemployment benefits for workers who lose their jobs.

FICA-Social Security

The portion of the Federal Insurance Contributions Act tax that funds the Social Security program, providing benefits for retirees and disabled individuals.

FICA-Medicare

A federal tax in the United States deducted from employees' paychecks to fund the Medicare program, which provides health coverage to eligible elderly and disabled individuals.