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Dockside Enterprises, Inc., operates two divisions: (1) a management division that owns and manages bulk carriers on the Great Lakes and (2) a repair division

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Dockside Enterprises, Inc., operates two divisions: (1) a management division that owns and manages bulk carriers on the Great Lakes and (2) a repair division that operates a dry dock In Tampa, Florida. The repair division works on company ships, as well as other large-hull ships. The repair division has an estimated variable cost of $33 per labor-hour. The repair division has a backlog of work for outside ships. They charge $73 per hour for labor, which is standard for this type of work. The management division complained that it could hire its own repair workers for $43 per hour, including leasing an adequate work area. What is the maximum transfer price per hour that the management division should pay? O $40 $33 $43 $73

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