Please help me to solve this problem Q3: Al-Khour group owns two subsidiaries North and South.North produces and sells Woods; the cost structure is as the following:Variable Cost 190$ per ton. The North can sell up to 15000 tons to external market at 340$ perton.The South usually purchases 3000 units from the market for 300$ and then sell it for 400$.Requirements:1. If the North currently sells 14000 tons to the market what is the range of transfer price with thSouth.

Transfer pricing is one of the technique or methodology being used for calculating prices at which…

Q3: Al-Khour group owns two subsidiaries North and South. North produces and sells Woods; the cost structure is as the following: Variable Cost 190$ per ton. The North can sell up to 15000 tons to external market at 340$ pen ton. The South usually purchases 3000 units from the market for 300$ and then sell it for 400$. Requirements: 1. If the North currently sells 14000 tons to the market what is the range of transfer price with th South