STANDARD VIEW PRINTER VERSION BACK NEXT Problem 9.39A-C Ampro Inc. has two divisions Division A makes and sells student desks. Division B manufactures and sets reading lamps Each desk has a reading lamp as one of its components. Division A needs 10,800 lamps for the coming year and can purchase reading lamps at a cost of $15 from an outside vendor Division B has the capacity to manufacture 51.900 lamps annually. Sales to outside customers are estimated at 41.100 lamps for the next year. Itsells reading lamps for $16 each Variable costs are $13 per lamp and include $1 of variable sales costs that are not incurred division sells lamps internally to division A The total amount of red costs for division $76,000 is Consider the following independent situations: What should be the minimum transfer price division B accepts for the 10,800 lamps and the maximum transfer price division A pays? Minimum transfer price $ 15 per un Maximum transfer price $ 15 per unit Suppose division could use the excess capacity to produce and sell externally 21,600 units of a new product at a price of $13 per unit. The variable cost for this new product is $11 per unit. What should be the minimum transfer price division accepts for the 10,800 lamps and the maximum transfer price division A pays? Minimum transfer price per unit Maximum transfer price 13 per unit If division A needs 16,200 lamps instead of 10,800 during the next year, what should be the minimum transfer price division B accepts and the maximum transfer price division A pays? (Round minimum transfer price to 2 decimal places, e.g. 15.25.) Minimum transfer price Maximum transfer price $ per unit Question Attempts: 0 of 2 used