Division X makes a part that it sells to customers outside of the company. Data...
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Division X makes a part that it sells to customers outside of the company. Data concerning this part appear below: 105 Selling price to outside customers Variable cost per unit Total fixed costs Capacity in units $ 828,000 34,500 Division Y of the same company would like to use the part manufactured by Division X in one of its products. Division Y currently purchases a similar part made by an outside company for $101 per unit and would substitute the part made by Division X. Division Y requires 6,900 units of the part each period. Division X can already sell all of the units it can produce on the outside market. What should be the lowest acceptable transfer price from the perspective of Division X? $80 $96 O $24 $105
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