Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. ajax corporation has two divisions. i he mining di

Ajax Corporation has two divisions. I he mining division makes toldine, which is then transterred...

90.2K

Verified Solution

Question

Accounting

Ajax Corporation has two divisions. I he mining division makes toldine, which is then transterred to
the metals division. The toldine is further processed by the metals division and is sold to customers
at a price of $160 per unit. The mining division is currently required by Ajax to transfer its total
yearly output of 100,000 units of toldine to the metals division at 110% of full manufacturing cost.
Unlimited quantities of toldine can be purchased and sold on the outside market at $100 per unit.
The following table gives the manufacturing cost per unit in the mining and metals divisions for
2020 :
Manufacturing overhead costs in the mining division are 65% fixed and 35% variable.
b Manufacturing overhead costs in the metals division are 60% fixed and 40% variable.
Q23: The transfer price based on 110% of Full Manufacturing Cost is:
$80
$58
$88
$75.90
$59.40
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

A certain flight arrives on time 88 percent of the time. Suppose 145 flights are randomly...

Statistics
Q

1. A sociologist claims that children ages 6-17 spend less time watching television today than children...

Basic Math
Q

3. In R4 , does the set {(1, 1, 1, 0,(1, 0, 0, 0),(0, 1, 0,...

Advance Math
Q

The likelihood of falling into an alcohol induced coma is highest when consuming Group of...

Geometry
Q

For the function below find A f x B the partition numbers for f C...

Basic Math
Q

lestion 12 A small company is creating a new product to sell to buyers They...

Basic Math
Q

Meals For You (MFY) operates a meal home-delivery service. It has agreements with 20 restaurants...

Accounting
Q

Larson, Inc., manufactures backpacks. Last year, it sold 99,000 of its basic model for $20...

Accounting
Q

please answer within an hour or very fast, will upvote and give nice comment. Please...

Accounting
Q

Question 5 (of 50) value 4.00 points JRE2 Inc. entered into a contract to install...

Accounting
Q

Which of the following statement is true? -Operating leverage refers to a company's ability to...

Accounting
Q

Paper Corp. purchased 70% of the outstanding shares of Sand Ltd. on January 1, Year...

Accounting