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10. Greenlawn Corporation has two divisions, Distribution and Production. The company's primary product is fertilizer. Each division's costs are provided below: Production: Variable costs per pound $0.05 $0.25 Fixed costs per pound Distribution: Variable costs per pound $0.03 Fixed costs per pound $0.02 The Distribution Division has been operating at a capacity of 4,000,000 pounds a week and usually purchases 2,000,000 pounds from the Production Division and 2,000,000 pounds from other suppliers at $0.45 per pound. What is the transfer price per pound from the Production Division to the Distribution Division, assuming the method used to place a value on each pound of fertilizer is 120% of full costs? A. $0.30 B. $0.36 C. $0.45 D. $0.55