QUESTION FOUR [20] TT and UU are two divisions at the VV Group. The TT division manufactures batteries which it sells to other divisions and external customers. The UU division has designed a new product with the name of product B and has asked TT division to supply them with the battery component. Each unit of product B will require one battery component. This battery component will not be sold by TT to external customers. TT division has quoted a transfer price of R585 for each battery. It is the policy of VV Group to reward managers based on their divisional returns on capita employed. Details of the monthly production for each division are as follows: OuteutVariablecostBatterycomponentswillbeproducedinbatchesof1000units.Atg5perbattery Fixed coste R60 000 (these are incurred to produce the battery component) UU division Output Product B will be produced in batches of 1000 units Variable costs The maximum customer demand is 6000 units. Fixed costs R117 per unit plus the cost of the Battery component. R75 000 (there are incurred specifically to produce Product B) The relationship between monthly customer demand and the selling price of product B is shown below: c) VV Group 4.2. Calculate the maximum monthly profit from the sale of product B for the VV Group. (4) QUESTION FOUR [20] TT and UU are two divisions at the VV Group. The TT division manufactures batteries which it sells to other divisions and external customers. The UU division has designed a new product with the name of product B and has asked TT division to supply them with the battery component. Each unit of product B will require one battery component. This battery component will not be sold by TT to external customers. TT division has quoted a transfer price of R585 for each battery. It is the policy of VV Group to reward managers based on their divisional returns on capita employed. Details of the monthly production for each division are as follows: OuteutVariablecostBatterycomponentswillbeproducedinbatchesof1000units.Atg5perbattery Fixed coste R60 000 (these are incurred to produce the battery component) UU division Output Product B will be produced in batches of 1000 units Variable costs The maximum customer demand is 6000 units. Fixed costs R117 per unit plus the cost of the Battery component. R75 000 (there are incurred specifically to produce Product B) The relationship between monthly customer demand and the selling price of product B is shown below: c) VV Group 4.2. Calculate the maximum monthly profit from the sale of product B for the VV Group. (4)