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Management of the Catering Company would like the Food Division to transfer 10,000 cans of its final product to the Restaurant Division for $80.The Food Division sells the product to customers for $150 per unit.The Food Division's variable cost per unit is $55 and its fixed cost per unit is $25.The Food Division has 10,000 units available capacity.What is the minimum transfer price the Food Division should accept?
Decision Trees
A graphical representation used for making decisions, showing different courses of action and the potential outcomes or risks associated with each.
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