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The Heating Division of Kobe international produces a heating element that it sells to its customers for 545 per urit. Its unit variable cost is
The Heating Division of Kobe international produces a heating element that it sells to its customers for 545 per urit. Its unit variable cost is \$25, and its unit foxed cost is \$10. Top manogement of Kobe International would like the Heating Division to transfer 15.000 heating units to another division within the compary at a price of 329. The Heating Division is operating at full capacity. Assume that the units being requested are spocial high-performance units, and the divisloo's unit variable cost would bo $27 (rather than $2$ ). What is the minimum transfer price that the Heating Division should accept? Minimam tramsfer price
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