AAFM CWM_LEVEL_2 Question Answer
Section C (4 Mark)
Division Z is a profit centre, which produces four products A, B, C and D, Each product is sold in the external market also. Date for the period is as follows:
Product D can be transferred to division Y but the maximum quantity that might be required for transfer is 2,500 units of D.
The maximum sales in the external market are:
Division Y can purchase the same product at a slightly cheaper price of Rs. 125 per unit instead of receiving transfer of product D from division Z.
What should be transfer price for each unit for 2500 units of D, if the total labour hours available in division Z is:
AAFM CWM_LEVEL_2 Summary
- Vendor: AAFM
- Product: CWM_LEVEL_2
- Update on: Jul 30, 2025
- Questions: 1259
