Spring Corp

question 17

Multiple Choice

Spring Corp.has two divisions,Daffodil and Tulip.Daffodil produces a gadget that Tulip could use in its production.Tulip currently purchases 100,000 gadgets for $12.50 on the open market.Daffodil's variable costs are $6 per widget while the full cost is $9.35.Daffodil sells gadgets for $13 each.If Daffodil is operating at capacity,what would be the maximum transfer price Tulip would pay internally?

• A)$6.00
• B)$9.35
• C)$12.50
• D)$13.00

---

Definitions:

Educational Background

The formal schooling or training an individual has received, often including degrees earned, certifications, and significant coursework.

Discharge Instructions

Directions provided by healthcare professionals to a patient upon discharge from hospitalization or a medical procedure, detailing care and activities to follow at home.

Grade Level

The classification of school levels in educational systems to organize students by their year of study.

Sterile Technique

Strategies and practices employed to maintain sterility during medical procedures, minimizing the risk of infection.