The Engine Division Provides Engines for the Tractor Division of a Company

question 101

Multiple Choice

The Engine Division provides engines for the Tractor Division of a company. The standard unit costs for Engine Division are: The engine department has excess capacity. What is the best transfer price to avoid transfer price problems?

• A) $1,350
• B) $300
• C) $900
• D) $2,100

---

Definitions:

Homo Sapiens Idaltu

An extinct subspecies of Homo sapiens that lived around 160,000 years ago, discovered in Herto, Ethiopia, considered one of the early forms of anatomically modern humans.

Denisovans

An extinct species or subspecies of archaic humans known from DNA evidence and a few archaeological remains, suggesting they once lived in Asia.

Bipedalism

The capability of bipedal locomotion, specifically walking on two legs, which is a trait of humans and their forebears.

Robust Australopithecines

Extinct hominids known for their sturdy skeletal structures, part of the early human lineage that lived in Africa.