International Company has a division that produces components for its main product- widgets. This divisi operates as a profit center and sells its components to other widget manufacturers. The current price of $s0 compent is the basis for a negotiation with the Manufacturing Division, which has been purchasing 000 units per year from other sources. The external price is $48 per component due to the large number Use the following for questions 34 and 35 sed. The Component Division has adequate capacity to provide the needs of the Manufacturing the Manufacturing Division does not want to pay the full price of $50. The components purcha unit cost is presented below. Direct materials Direct labor Variable overhead Fixed overhead (per unit based on a capacity of 4 million units) $18.00 14.00 6.00 4.00 $12.00 Total cost 33. Which range is appropriate for the intercompany transfer? 42-4 38 A. $38-$42 B. $38-$43 C. $38-$48 D. $38-$50 E. None of the above