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The fastener division of Southern Fasteners manufactures zippers and then sells them to customers for...

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Accounting

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The fastener division of Southern Fasteners manufactures zippers and then sells them to customers for $7.50 per unit. Its variable cost is $3.07 per unit, and its fixed cost per unit is $1.85. Management would like the fastener division to transfer 12,800 of these zippers to another division within the company at a price of $3.07. The fastener division could avoid $0.38 per zipper of variable packaging costs by selling internally. Determine the minimum transfer price. (a) Assuming the fastener division is not operating at full capacity. (Round answer to 2 decimal places, e.g. 10.50.) Minimum transfer price $ (b) Assuming the fastener division is operating at full capacity. (Round answer to 2 decimal places, e.g. 10.50.) Minimum transfer price $

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