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Assume the Thread Division has excess capacity. The Garment Division wants the Thread Division to furnish them additional spools of thread that could be made

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Assume the Thread Division has excess capacity. The Garment Division wants the Thread Division to furnish them additional spools of thread that could be made using the excess capacity. In a negotiated transfer price, the Thread Division should accept as a minimum any transfer price that exceeds the: a O Total cost of producing spools for outside sales. O Forgone contribution margin on outside spool sales. O Fixed costs of producing the additional spools for the Garment Division. O Variable costs of producing the additional spools for the Garment Division O None of the above

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