A Company Is Highly Centralized

question 60

Multiple Choice

A company is highly centralized.The Cutting Division,which is operating at capacity,produces a component that it currently sells in a perfectly competitive market for $13 per unit.At the current level of production,the fixed cost of producing this component is $4 per unit and the variable cost is $7 per unit.Grinding Division would like to purchase this component from the Cutting Division.The price that the Cutting Division should charge the Grinding Division per unit for this component is:

• A) $7.
• B) $11.
• C) $13.
• D) $15.

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Definitions:

Infect

The act of causing disease by introducing a pathogen or harmful microorganism into a host organism.

Immunodeficiency Virus

A type of virus that attacks the immune system, leading to a progressive failure of immune response.

Acquired Immunodeficiency Syndrome

A chronic, potentially life-threatening condition caused by the human immunodeficiency virus (HIV) which severely damages the immune system.

Enveloped Virus

A virus that has an outer lipid bilayer membrane derived from the host cell, surrounding its capsid, which aids in infecting host cells by fusing with the host's membrane.