In the Bombadier Company, Division A has a product that can be sold either to outside customers or to Division B. Information about these divisions is given below: The company uses the opportunity cost approach to transfer pricing. What is the minimum transfer price in Case 1?
A) $90
B) $73
C) $83
D) $86

Question

In the Bombadier Company, Division A has a product that can be sold either to outside customers or to Division B. Information about these divisions is given below:  The company uses the opportunity cost approach to transfer pricing. What is the minimum transfer price in Case 1?
A) $90 
B) $73 
C) $83 
D) $86

Quizplus · Accepted Answer

The Answer of In the Bombadier Company, Division A has a product that can be sold either to outside customers or to Division B. Information about these divisions is given below:  The company uses the opportunity cost approach to transfer pricing. What is the minimum transfer price in Case 1?
A) $90 
B) $73 
C) $83 
D) $86

In the Bombadier Company, Division a Has a Product That