The Heating Division of Grouper International produces a heating element that it sells to its...

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Accounting

The Heating Division of Grouper International produces a heating element that it sells to its customers for $40 per unit. Its unit variable cost is $22, and its unit fixed cost is $9. Top management of Grouper International would like the Heating Division to transfer 14,500 heating units to another division within the company at a price of $33. The Heating Division is operating at full capacity. Assume that the units being requested are special high-performance units, and the division's unit variable cost would be $25(rather than $22). What is the minimum transfer price that the Heating Division should accept?
Minimum transfer price $
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