Jumping Jazz Company manufactures dance shoes and provides you with the following

information for their ballet slippers:

Jumping Jazz has an internal policy that all in$-$house transfer be set at full absorption cost

plus $5\%$ of what the transfer price would be to cover any unexpected costs. Jumping Jazz

Company estimates that Fixed MOH costs will reduce by $$0\mathrm{.}10$ per unit as a result of the

increased production level. What will the internal transfer price be if Division A purchases

inventory from Division C$?($Round all calculations to the nearest cent, X$.$XX$.)$

$$8\mathrm{.}03$

$$8\mathrm{.}87$

$$8\mathrm{.}55$

$$8\mathrm{.}45$