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1196 Chapter 23 Evaluating Decentralized Operations A. $3,000,000 EX 23-19 Decision on transfer pricing Obj. 5 Materials used by the Instrument Division of XPort Industries

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1196 Chapter 23 Evaluating Decentralized Operations A. $3,000,000 EX 23-19 Decision on transfer pricing Obj. 5 Materials used by the Instrument Division of XPort Industries are currently purchased fr outside suppliers at a cost of $210 per unit. However, the same materials are available for the Components Division. The Components Division has unused capacity and can produce th materials needed by the Instrument Division at a variable cost of $160 per unit. A. If a transfer price of $180 per unit is established and 60,000 units of materials are ferred, with no reduction in the Components Division's current sales, how much wou XPort Industries' total income from operations increase? B. How much would the Instrument Division's income from operations increase? C. How much would the Components Division's income from operations increase

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