1. A firm uses negotiated transfer prices to transfer costs from the Seller Department and the Buyer Department. Buyer Department uses a key input from Seller Department. Buyer Department can buy this good from the external market for $103 per unit.

   Seller Department assigned the following per unit costs to each unit of producing this input.

   • Direct materials: $24 per unit
   • Direct labor: $25 per unit
   • Variable overhead: $22 per unit
   • Fixed overhead: $13 per unit

   What is the range of negotiation (that is, the difference between the price ceiling and price floor)?