Buddy Printers is a manufacturer of printers aimed at small businesses in the US. The...
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Buddy Printers is a manufacturer of printers aimed at small businesses in the US. The typical model sells for $500 or less and comes with the initial toner cartidge. The average owner of these printers would replace the toner cartridge four times over the life of the printer.
The printer division of Buddy obtains the initial toner cartridge from the Toner division of Buddy. The Tone division also sells cartidges to retail stores to sell as replacement cartidges for 70% of the final retail price of $50. What price should the toner divsion charge the printer division for the initial toner cartidge?
Toner division charge the Printer division for the initial toner cartidges = 70%*50
Toner division charge the Printer division for the initial toner cartidges = $ 35
After determining the price the Toner Divsion will charge the Printer division for the initial cartridges of $35,
MY QUESTION to answer is what are the concerns for the toner division manager and the printer division manager?
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