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Valve Division of Collyer Inc. makes a regular valve at variable cost of $15 per...

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Accounting

Valve Division of Collyer Inc. makes a regular valve at variable cost of $15 per unit. Market price of the regular valve is $30. Pump Division of Collyer Inc. needs 20,000 units of high-pressure valves. To make these special valves, Valve Division has to incur variable cost of $20 per unit and reduce its production of regular valves from 100,000 to 60,000 units. What would be the lowest acceptable transfer price for this special order? Group of answer choices $40 $50 $35 $30

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