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Question - Buy-Best has two divisions: Spinning and Weaving. The Spinning Division transfers partially completed components to the Weaving Division at a predetermined transfer price. The Spinning Division's standard variable production cost is $361 per unit and maximum capacity is 1000 units. It currently sells its components to external buyers at $535 per unit. The demand from external market is 900 units. Weaving Division's manager approached Spinning Division's manager to ask for an internal transfer of 300 units. To supply the full order, Spinning Division would need to forgo some production and sales to external suppliers. Determine a transfer price using the general rule (round your answer to the nearest whole number).
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