Figure 20-1
Universe Industries Has Two Divisions: the Haley Division

question 22

Multiple Choice

Figure 20-1
Universe Industries has two divisions: the Haley Division and the Comet Division. Information about a component that the Haley Division produces is as follows: $\begin{array}{lr}\text { Sales } & £ 120 \text { per unit } \\\text { Variable manufacturing costs } & £ 30 \text { per unit } \\\text { Fixed manufacturing overhead } & £ 20 \text { per unit } \\\text { Expected sales in units } & 4,000 \text { units }\end{array}$ The Haley Division can produce up to 5,000 components per year. The Comet Division needs 200 units of the component for a product it manufactures.
-Refer to Figure 20-1. The minimum transfer price that the Haley Division would be willing to accept is

• A)£120.
• B)£70.
• C)£50.
• D)£30.

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Definitions:

Anesthetic

A substance used to induce anesthesia, temporarily eliminating sensation or pain in a part or the entirety of the body.

Needle Holder

Instrument used to hold a suture needle during the suturing process.

Sterile Field

A designated area, such as in a surgical environment, that is kept free of all microorganisms to reduce the risk of infection.

Loop Electrosurgical Excision Procedure (LEEP)

A medical procedure that uses a wire loop heated by electric current to remove abnormal tissues or cells from the cervix.