Question: Question 5.1 Answer correctly for Like! Current Attempt in Progress The Heating Division of Kobe International produces a heating element that it sells to its

Question 5.1

Answer correctly for Like!

Current Attempt in Progress The Heating Division of Kobe International produces a heating element that it sells to its customers for $42 per unit. Its variable cost per unit is $22, and its fixed cost per unit is $7. Top management of Kobe International would like the Heating Division to transfer 14,700 heating units to another division within the company at a price of $32. The Heating Division is operating at full capacity Assume that the units being requested are special high-performance units and that the division's variable cost would be $30 per unit (rather than $22). What is the minimum transfer price that the Heating Division should accept? Minimum transfer price $

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