What is the minimum transfer price that the heating division

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Question - The Heating Division of Sarasota International produces a heating element that it sells to its customers for $43 per unit. Its unit variable cost is $23, and its unit fixed cost is $6. Top management of Sarasota International would like the Heating Division to transfer 14,800 heating units to another division within the company at a price of $30. The Heating Division is operating at full capacity. What is the minimum transfer price that the Heating Division should accept?

Reference no: EM133155412

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