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

question 106

Multiple Choice

The Engine Division provides engines for the Tractor Division of a company. The standard unit costs for Engine Division are as follows:
$$\begin{array} { l r } \text { Direct materals }&\$600 \\\text { Direct labour } & 1,200 \\\text { Variable overhead } & 300 \\\text { Fixed overhead } & 150 \\\text { Market price per unit } & 2,730\end{array}$$
-Refer to the figure.What is the transfer price based on variable product costs plus 20 percent?

• A)$720
• B)$2,100
• C)$2,160
• D)$2,520

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Definitions:

Individual Attitudes

Personal evaluations, feelings, or opinions toward objects, people, or events, which can influence behavior and choices.

Psychodynamic Perspective

A psychological approach that emphasizes unconscious processes and past conflicts as influencing current behaviors and mental states.

Unconscious Longings

Desires or wishes that an individual is not aware of but that influence emotions and behavior.

Romantic Feelings

Emotional states characterized by the desire for a deep and meaningful connection with another person, often linked with attraction and love.