Problem 14.46 Crane Electronics manufactures wheelchairs. It has two divisions-the Motors Division located in Canada and the Assembly Division located in Japan. The Motors Division was originally set up to supply its motors to Crane's Japanese plant to complete the wheelchairs. Over the years, the Motors Division experienced idle capacity and the senior management agreed that the Motors Division could sell its motors to external customers. As a result, each division operates as an independent profit centre. The Motors Division's revenue and cost information is as follows: Capacity (in units) Selling price per unit Direct Materials Direct Labour Variable Manufacturing Overhead Fixed Cost (based on capacity) 10,700 $650 95 171 53 153 The Assembly Division can purchase a similar quality of motors in Japan for $548 each. The Canadian tax rate is 40% and the Japanese tax rate is 30%. The Motors Division currently sells 8,025 units to external customers and 2,675 units to the Assembly Division. The Motors Division uses the variable costing approach (i.e. variable cost + variable cost x 40% mark-up) as the transfer price. One of the Motors Division's local customers would like to increase their annual order by 800 units. As a result, the Motors Division would like to charge the Assembly Division $650 per unit for 2,675 units to compensate for its loss of 800 units of sale from the local customer. The Assembly Division manager was not pleased about the increase in price, and argued that he is willing pay up to his local price of $548 per unit. Calculate the minimum transfer price, based on Crane's transfer price policy. (Round answer to 2 decimal places, e.g. 125.64.) Minimum Transfer Price $ Establish the range for the transfer price, if any, between the two divisions. (Round answers to 2 decimal places, e.g. 125.64. Enter 0 if there is no transfer price.) Minimum