Riverbed Inc. has two divisions. Division A makes and sells student desks. Division B manufactures and sells reading lamps. Each desk has a reading lamp as one of its components. Division A can purchase reading lamps at a cost of $10 from an outside vendor. Division A needs 10,600 lamps for the coming year. Division B has the capacity to manufacture 53,000 lamps annually. Sales to outside customers are estimated at 42,400 lamps for the next year. Reading lamps are sold at $12 each. Variable costs are $7 per lamp and include $1 of variable sales costs that are not incurred if lamps are sold internally to Division A. The total amount of fixed costs for Division B is $84,800. Consider the following independent situations. (a) What should be the minimum transfer price accepted by Division B for the 10,600 lamps and the maximum transfer price paid by Division A? Minimum transfer price accepted by Division B $enter a dollar amount per unit per unit Maximum transfer price paid by Division A $enter a dollar amount per unit per unit (b) Suppose Division B could use the excess capacity to produce and sell externally 15,900 units of a new product at a unit selling price of $7. The unit variable cost for this new product is $5. What should be the minimum transfer price accepted by Division B for the 10,600 lamps and the maximum transfer price paid by Division A? Minimum transfer price accepted by Division B $enter a dollar amount per unit per unit Maximum transfer price paid by Division A $enter a dollar amount per unit per unit (c) If Division A needs 13,250 lamps instead of 10,600 during the next year, what should be the minimum transfer price accepted by Division B and the maximum transfer price paid by Division A? (Round answers to 2 decimal places, e.g. 10.50.) Minimum transfer price accepted by Division B $enter a dollar amount per unit rounded to 2 decimal places per unit Maximum transfer price paid by Division A $enter a dollar amount per unit rounded to 2 decimal places per unit