Exercise M-16 (Part Level Submission) Crede Inc. has two divisions. Division A makes and sells student desks. Division B manufactures and sells reading lamps Each desk has a reading lamp as one of its components. Division A can purchase reading lamps at a cost of $ 10.08 from an outside vendor. Division A needs 10,600 lamps for the coming year. Division B has the capacity to manufacture 51,000 lamps annually. Sales to outside customers are estimated at 40,400 amps for the next year. Reading lamps are sold at 11.94 each Variable costs are $ 6.74 per lamp and include $ 1.26 of variable sales costs that are not incurred if lamps are sold internally to Division A. The total amount of fixed costs for Division B is s 82,800 Consider the following independent situations Your answer is correct. What should be the minimum transfer price accepted by Division B for the 10,600 lamps and the maximum transfer price paid by Division A? (Round answers to 2 decimal places, e.g. 10.50.) Minimum transfer price accepted by DivisionB Maximum transfer price paid by Division A 5.48 per unit s 10.08 per unit Click if you would like to Show Work for this question: Open Show Work SHOW SOLUTION SHOW ANSWER LINK TO TEXT VIDEOr SIMILAR EXERCISE Attempts: 1 of 5 used