The Bat Division of Baseball Company has just revised its actual cost data for 2004. Bat Division transfers goods to the Sport Division. Sport Division can buy the same goods in the open market for £122 each. Bat's new cost data are as follows:
Current production is 200,000 units, and the Bat Division has a capacity of 300,000 units.
Required:
a.
What is the lowest price the Bat Division should charge for the internal transfers of its goods?
b.
What is the highest price the Sport Division should pay for the units?
c.
Give the primary reason why the Bat Division should reduce its price.
Definitions:
Haptics
The study and use of touch communication, including how people perceive and convey messages through physical contact.
Nonverbal
Communication that occurs without words, using gestures, facial expressions, body language, and other visual cues to convey messages.
Personal Contact
Refers to direct face-to-face interaction or communication between individuals.
Canadians
Individuals who are citizens of Canada, a country in North America, known for its multicultural society and inclusive policies.
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