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The Center of Open and Distance Learning (COD) located in Mariental, operates a Division Pack which assembles textbooks and learning material packs for learners doing

The Center of Open and Distance Learning (COD) located in Mariental, operates a Division Pack which assembles textbooks and learning material packs for learners doing AS level at a cost of N$ 650. Division Place distributes these packs at an additional cost of N$ 150 to central and southern regions. The Center is paid N$ 1 000 per pack sold to public and private schools. Division Pack has a capacity of 25 000 units and is considering an offer from a distributor in the north to buy 60% of its capacity at N$ 810.

REQUIRED: a) Calculate the minimum and maximum transfer price to be considered by the managers of these divisions as they negotiate for the 25 000 packs. [6 marks]

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