(Appendix 11A) Royal Products, Inc

question 80

Multiple Choice

(Appendix 11A) Royal Products, Inc., has a Connector Division that manufactures and sells a number of products, including a standard connector that could be used by another division in the company, the Transmission Division, in one of its products. Data concerning that connector appear below:
The Transmission Division is currently purchasing 6,000 of these connectors per year from an overseas supplier at a cost of $65 per connector.
-What is the maximum price that the Transmission Division should be willing to pay for connectors transferred from the Connector Division?

• A) $35 per unit
• B) $65 per unit
• C) $56 per unit
• D) $21 per unit

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Definitions:

National TV Ratings

Measurements that indicate the size and demographics of television audiences across a nation, often used for programming decisions and advertising rates.

Observational Data

Observational data is information collected through direct observation of behavior or phenomena, without intervention or manipulation by the researcher.

Nielsen

A global measurement and data analytics company providing insights into consumer behavior and media consumption.

Online Ratings

Assessments or evaluations made by consumers on websites about products, services, or businesses, usually in the form of stars or points.