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Division L at Reiner Ltd. manufactures 16641 units of part #70, which it currently sells to outside customers. Selected data for part #70 are given

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Division L at Reiner Ltd. manufactures 16641 units of part #70, which it currently sells to outside customers. Selected data for part #70 are given below: Unit selling price to outside customers $89.53 Variable production cost per unit 54.35 Total fixed production cost (based on a capacity $380000 of 19437 units per year) Division K at Reiner Ltd, currently purchases 7280 units of part #70 from an outside supplier at a price of $96.00. Consideration is being given to buying internally rather than from the outside supplier. What is the lowest acceptable transfer price from the perspective of Division L? Select one: O a. $0 O b. $89.53 O c. $96.00 O d. $76.02 Check

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