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Good morning Mr John..When I saw the question from D12Q5, I didn’t understand the figures given below…
This has resulted in internal transfer prices, when S and R are being transferred to the retail division, of $220·17 and $241·69 respectively…
$220·17 What is this? Is it 220 multiply by 17 or 220.17????
Thank you…
In future, please head up your thread as to what topic you are asking about – not just ‘F5’. It is so that everyone can get the benefit of the answers.
$220.17 is 220 dollars and 17 cents. That is the current transfer price as given in the question, but is of no relevance to what is required in the question – the question wants you to recalculate using the methods stated.
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