Use the Following Information for the Next 2 Questions

question 126

Multiple Choice

Use the following information for the next 2 questions.
Division A produces a component for Hielkema Company's main product - automobiles. The division operates as a profit center. It also sells to outsiders. The present selling price is $75 per component. The company buys 600,000 units of a similar component per year from outside sources. The external purchase price is $73 as a result of a quantity discount. Division A has adequate capacity to supply the needs of the Assembly division. The following data are for Division A:
-The minimum price at which A would sell components internally is

• A) $71
• B) $73
• C) $75
• D) $65

---

Definitions:

Plate Boundary

The edges where two tectonic plates meet, which can be categorized into convergent, divergent, or transform boundaries based on their movement relative to each other.

Spreading Center

Divergent boundary where two oceanic plates move apart (diverge).

Transform Fault

A geological fault where the movement of the Earth's crust is predominantly horizontal, often leading to earthquakes in these regions.

Subduction Zone

A region of the Earth's crust where one tectonic plate moves under another, often associated with volcanic activity and earthquakes.