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The Rubber Division of Rubbermade Inc. manufactures and sells special rubber hoses to outside customers. Last year's operating results were as follows: Sales (100,000) hoses

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The Rubber Division of Rubbermade Inc. manufactures and sells special rubber hoses to outside customers. Last year's operating results were as follows: Sales (100,000) hoses $3,000,000 Variable costs 1.200,000 Contribution margin 1,800,000 Fixed costs 1.000.000 Net Income $ 800.000 Management would like the Rubber Division to transfer 10,000 of these rubber hoses to another division within the company. Assume the Rubber Division is operating at full capacity. What is the minimum transfer price that the Rubber Division should accept? $8 per hose $18 per hose $30 per hose $12 per hose $10 per hose L

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