Assume the Thread Division has excess capacity. The Garment Division wants the Thread Division to furnish them additional spools of thread that could be made using the excess capacity. In a negotiated transfer price, the Thread Division should accept as a minimum any transfer price that exceeds the
a) total cost of producing spools for outside sales.
b) variable costs of producing the additional spools for the Garment Division.
c) contribution margin and outside spool sales.
d) foregone contribution margin on outside spool sales.
b) variable costs of producing the additional spools for the Garment Division.
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A wide bid/ask spread could indicate which of the following?
A) frequent trading of a currency B) an inefficient market C) large volume transactions are taking place D) the presence of arbitrageurs
Lizzie is enrolled in an online higher education program. She may take some classes online and some in a traditional university setting. In which type of program is Lizzie most likely enrolled?
A) virtual instruction program B) online synchronized study C) asynchronous learning D) hybrid program