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Manhattan Corporation has several divisions that operate as decentralized profit centers. At the present time, the Fabrication Division has excess capacity of 5,000 units with respect to the UT-371 circuit board, a popular item in many digital applications. Information about the circuit board follows.  Manhattan’s Electronic Assembly Division wants to purchase 4,500 circuit boards either internally, or else use a similar board in the marketplace that sells for $ The Electronic Assembly Division’s management feels that if the first alternative is pursued, a price concession is justified, given that both divisions are part of the same firm.The best process for Manhattan to determine the price ultimately charged by the Fabrication Division to the Assembly Division for the circuit board is to The best process for Manhattan to determine the price ultimately charged by the Fabrication Division to the Assembly Division for the circuit board is toA. Establish the price by top management. B. Establish the price by an arbitration committee. C. Establish the price through negotiations between the Fabrication’s and Electronic Assembly’s division management. D. Set the price equal to the price that would be charged if the Fabrication Department had no excess capacity. |