*THE FIRST OPTION IS INCORRECT*

Division X makes a part with the following characteristics: Division Y another division of the company would like to purchase 16.200 units of the part each period from Division X. Division Y is now purchasing these parts from an outside supplier at a price of $17 each. Suppose that Division X is operating at capacity and can sell all of its output to outside customers at its usual selling price. If Division X sells the parts to Division Y at $17 per unit, the company as a whole will be: better off by $32,400 each period. worse off by $64,800 each period. worse off by $32,400 each period. There will be no change in the status of the company as a whole