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Given the following data for Division X: Selling price to outside customers $ 25 Variable cost per unit 12 Total Fixed cost 50,000 Capacity (in

Given the following data for Division X: Selling price to outside customers $ 25

Variable cost per unit 12

Total Fixed cost 50,000

Capacity (in units) 125,000 Division Y would like to purchase 15,000 units from Division X. Division X has excess capacity to handle all of Division Y's needs. Division Y currently purchases from an outside supplier at a price of $20. If Division X refuses to accept an $18 price internally, the company, as a whole, will be worse off by:

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A $120,000

B $90,000

C $30,000

D $195,000

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