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Remaining Time: 1 hour, 59 minutes. 07 seconds. Question Completion Status: WEBCAM RECORDING Moving to another question will save this response. Question 2 Question 2 of 4 10 points Seit Alave Division A and Division B are divisions within the same company. The managers of both divisions are evaluated based on their division's return on investment (ROD. Assume the following information relative to two divisions Division A Capacity in units 400,000 Numbers of units now being sold to outside customers Selling price per unit to outside customers 400,000 590 Variable costs per unit 565 $15 Fixed cost per unit (based on capacity) Division B Number of units needed annually Purchase price now being paid to an outside supplier 30,000 589 A study indicates that Division A can avoid $5 per unit in shipping costs on any sales to Division B Required: Compute the following 1. Calculate the lowest acceptable transfer price for the seller Division A)? 2. Calculate the highest acceptable transfer price for the layer Division B 3. Calculate the range of acceptable transfer prices between the two divisions As Divine A offers to sell 10,000 sets to Division B for 558 and that Dire Breasts this price What will be the petential fit for the company as a fie and for rack division for the toolbar, press ALTF10 (PO ALTHO B US EEAQ
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