Campbell Radio Corporation is a subsidiary of Salem Companies. Campbell makes car radios that it sells to retail outlets. It purchases speakers for the radios from outside suppliers for $79 each. Recently, Salem acquired the Thornton Speaker Corporation, which makes car radio speakers that it sells to manufacturers. Thornton produces and sells approximately 230,000 speakers per year, which represents 70 percent of its operating capacity. At the present volume of activity, each speaker costs $72 to produce. This cost consists of a $55 variable cost component and an $17 fixed cost component. Thornton sells the speakers for $81 each. The managers of Campbell and Thornton have been asked to consider using Thornton's excess capacity to supply Campbell with some of the speakers that it currently purchases from unrelated companies. Both managers are evaluated based on return on investment. Thornton's manager suggests that the speakers be supplied at a transfer price of $81 each (the current selling price). On the other hand, Campbell's manager suggests a $79 transfer price, noting that this amount covers total cost and provides Thornton a healthy contribution margin. Required a. Based on market prices suggested by the managers, which transfer price would you recommend? Transfer price