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Question 15 Division A produces a product that it sells to the outside market. It has compiled the following: $10 $3 $169000 $30000 $42 30000
Question 15 Division A produces a product that it sells to the outside market. It has compiled the following: $10 $3 $169000 $30000 $42 30000 Variable manufacturing cost per unit Variable selling costs per unit Total fixed manufacturing costs Total fixed selling costs Per unit selling price to outside buyers Capacity in units per year Division B of the same company is currently buying an identical product from an outside provider for $40 per unit. It wishes to purchase 5700 units per year from Division A. Division A is currently selling 24300 units of the product per year. If the internal transfer is made, Division A will not incur any selling costs. What would be the maximum transfer price per unit that Division B would be willing to accept? $10 O $11 $40 $42
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