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Amazon Beverages produces and bottles a line of soft drinks using exotic fruits from Latin America and Asia.
Required:
a. Amazon Beverages has used market price-based transfer prices in the past. Using the current market prices and costs and assuming a volume of 1.74 million cases (Enter your answers in thousands of dollars.)
a-1. Calculate operating profits for Container Division.
a-2. Calculate operating profits for Mixing Division.
a-3. Calculate operating profits for Amazon Beverages.
b-1. Calculate operating profits for Container for volumes of 580,000, 1,160,000 and 1,740,000cases. (Enter your answers in thousands of dollars.)
b-2. Calculate operating profits for Mixing for volumes of 580,000, 1,160,000 and 1,740,000cases. (Enter your answers in thousands of dollars.)
b-3. Calculate operating profits for Amazon Beverages for volumes of 580,000, 1,160,000 and 1,740,000cases. (Enter your answers in thousands of dollars.)
