The Heating Division of Kobe International produces a heating element that it sells to its customers for $$45$ per unit. Its unit variable cost is $$25,$ and its unit fixed cost is $$10.$ Top management of Kobe International would like the Heating Division to transfer $15,000$ heating units to another division within the company at a price of $$29.$ The Heating Division is operating at full capacity. What is the minimum transfer price that the Heating Division should accept?

Minimum transfer price