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Materials used by the Instrument Divislon of T Kong Industries are currently purchased from outside suppliers at a cost of $175 per unit. However, the
Materials used by the Instrument Divislon of T Kong Industries are currently purchased from outside suppliers at a cost of $175 per unit. However, the same materials are avallable from the Components Divislon. The Components Divislon has unused capacity and can produce the materials needed by the Instrument Division at a varlable cost of $122 per unit. If transfer price of $148 per unit is established and so 000 units of materials are transferred with no reduction in the Components Division's current sales, how much would sales, ho much ould T Kong Industries total income from operations increase? T_Kong Industries' total income from operat a b. How much would the Instrument Division's income from operations increase? C. How much would the components Division's income from operations increase
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