Use the Following Information for the Next 3 Questions

question 80

Multiple Choice

Use the following information for the next 3 questions.
Division X sells organic high-gluten flour to Division Y. Division X incurs costs of $0.375 per pound of flour. Division Y makes loaves of bread that sell for $2.50 each. Division Y incurs costs of $1.25 per loaf, excluding the cost of the flour. Each loaf of bread uses one-half pound of flour.
-What is the operating income per loaf for Division Y if the transfer price is set at $0.625 per pound for flour?

• A) $0.6250
• B) $0.9375
• C) $1.2500
• D) $0.8750

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Definitions:

Inattention

A lack of focus or concentration on tasks at hand, which can lead to difficulties in learning, work performance, and day-to-day activities.

Abnormal Child Behaviour

Behaviors in children that deviate from the norms expected for their age and development, which can indicate underlying psychological or developmental issues.

Genetic Defects

Abnormalities in the genome that can lead to diseases or conditions, often inherited and sometimes caused by environmental factors.

Societal Factors

Elements within a society, such as cultural norms, laws, and social structures, that influence individuals' behavior and interactions.