Division X of Operandi Corporation makes and sells a single product which is used by manufacturers of fork lift trucks. Currently, it sells 22,800 units per year to outside customers at $42 per unit. The annual capacity is 29,000 units and the variable costs to make each unit is $34. Division Y of Operandi Corporation would like to buy 10,000 units a year from Division X to use in its products. There would be no cost savings from transferring the units within the company rather than selling them on the outside market. What should be the lowest acceptable transfer price from the perspective of Division X ? Multiple Choice $34.00 $37.04 $42.00 Division A of Chappelle Company has the capacity for making 3,400 motors per month and regularly sells 2,050 motors each month to outside customers at a contribution margin of $66 per motor. The variable cost per motor is $39.70. Division B of Chappelle Company would like to obtain 1,800 motors each month from Division A. What should be the lowest acceptable transfer price from the perspective of Division A? Multiple Choice $66.00 $56.20 $39.70. $31.57