The Assembly Department of Mifflin Inc

Multiple Choice

The assembly department of Mifflin Inc. has negotiated a deal with the distribution department (internal department) to sell them laser printers. The assembly department has operating capacity of 76,000 printers annually and has made the following external sales: The negotiated deal will be to sell 19,804 printers to the distribution department for the minimum acceptable transfer price. If the distribution department would like to have an Operating Income of $8,456, then what is the overall amount of sales that they must have? Do not round intermediate calculations.

A) $98,425.88
B) $106,954.84
C) $127,751.44
D) $136,207.44