Regarding transfer pricing in the kaplan kit, Qno 328.

Which question title is it? Or which version of the kit is it?

Kaplan kit, Q328 part b, ii*

There is no Q328 part b(ii) in my kit June 2024 Unless you tell me the question name I cannot help you Stop being obtrusive

im sorry sir for not mentioning it clearly... its from the old kit, Q CTD, CTD has two divisions – FD and TM. FD is an iron foundry division which produces mouldings that have a limited external market and are also transferred to TM division. ( ive typed a small part for your reference) my doubt is... Sir, in the part b, ii) what I did was, I went back from having the RI as 85,000+ (CE×12%) 90,000 getting 175000 as the controllable profit, why can’t I get the transfer price as 175 000/15000? Though the answer was 66+6.67=71.67

The current transfer price is $66 agreed???????????? To achieve a bonus of 5% You will want an increase in RI to $85,000 It gives you that in the question Thus $85,000 / 15,000 = $5.67 Added to the current TP of $66 Equals $ 71.67