Superb Windows manufactures windows in two divisions. The windows frames are produced in the Frame Division, which are then transferred to the Glass Division. Glass and hardware are inserted into the window frames in the glass division. Both divisions are classified as profit centres. The following table gives the manufacturing cost per unit in the frame and Glass divisions for 2020: Frame Division Glass Division Direct materials cost $ 45.00 $ 90.00* Direct manufacturing labour cost 60.00 45.00 Manufacturing overhead cost 112.50 120.00 Total manufacturing cost per unit $217.50 $255.00 Manufacturing overhead costs in the Frame Division are 20% fixed and 80% variable. Manufacturing overhead costs in the Glass Division are 25% fixed and 75% variable. *not including the transfer price for the frame The frame division can sell all frames directly to a home building firm at $240 per frame. The glass division sell the completed windows for $570. Required Assume there is no spare capacity in the Frame division. 1. Use the general transfer pricing rule to calculate the transfer price for window frames; (4 marks) 2. Calculate the transfer price based on variable cost with a 10 per cent mark-up. (4 marks)