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  3. Study Set
    Cost Accounting Foundations and Evolutions
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    Exam 13: Responsibility Accounting,support Department Allocations,and Transfer Pricing
  5. Question
    The Presence of Idle Capacity in the Selling Division May
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The Presence of Idle Capacity in the Selling Division May

Question 47

Question 47

Multiple Choice

The presence of idle capacity in the selling division may increase


A) the incremental costs of production in the selling division.
B) the market price for the good.
C) the price that a buying division is willing to pay on an internal transfer.
D) a negotiated transfer price.

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