\$45. The Tro Civision tas the sollewing costs per be: (Cick the licon ib vew thit costs and asditonu irlamation.) Read the cesumements the Tre Divions tors manufactures specialty tractors. It has two divisions: a Tractor Division and a I ire Division. Oivision has the following costs per tire: con to view the costs and additional information.) irements. More info 1. Ass Direct material cost per tire $29 Conversion costs per tire $4 (Assume the $4 includes only the variable portion of conversion costs.) Fixed manufacturing overhead cost for the year is expected to total $114,000. The Tire Division expects to manufacture 57,000 tires this year. The fixed manufacturing overhead per tire is $2 ( $114,000 divided by 57,000 tires). ucester Motors manufactures specialty tractors. It has two divisions: a Tractor Division and a Tire Division. The Tractor Division can use the tires produced by the T 5. The Tire Division has the following costs per tire: (Click the icon to view the costs and additional information.) Requirements 1. Assume that the Tire Division has excess capacity, meaning that it can produce tires for the Tractor Division without giving up any of its current tire sales to outsiders. If. Gloucester Motors has a negotiated transfer price policy, what is the lowest acceptable transter price? What is the highest acceptable transfer price? 2. If Gioucester Motors has a cost-plus transfer price policy of full absorption cost plus 20%. What would the transfer price be? 3. If the Tire Division is currently producing at capacity (meaning that it is selling every single fire it has the capacity to produce), what would likely be the fairest transfer price strategy to use? What would be the transfer price in this case