BE$21\mathrm{.}7($LO$\_4),$ AP The Heating Division of Kobe International produces a heating element that it sells to its customers for $$45$ per unit. Its variable cost per

unit is $$25,$ and its fixed cost per unit is $$10.$ Top management of Kobe International would like the Heating Division to transfer $15,0$oo heating units to another

division within the company at a price of $$29.$ The Heating Division is operating at full capacity. What is the minimum transfer price that the Heating Division

should accept?

BE$21\mathrm{.}8($LO$\_4),$ AP Use the data from $)$ but assume that the Heating Division has sufficient excess capacity to provide the $15,0$oo heating units to the

other division. What is the minimum transfer price that the Heating Division should accept?