Clinton Ltd. has 2 divisions A and B. The A division provides a rubber component which can be transferred to the B division or sold externally for $44. The A division has capacity of 780,000 rubber components. The B division has been approached by an outside supplier to supply a similar rubber component for $39 (Division B requires 220,000 rubber components per year). The cost of the rubber component for A division is $19 for prime costs, variable overhead is $5.50 and fixed overhead is $4. Sales commissions are paid at $2.50 for an outside sale but are eliminated on an internal transfer