help please . I couldnt undestand .

ero Industries operates a Manufacturing and Marketing division. Both are ackges them from sale. Manufacturing sells many components to third parties in 3. Atascad aidated as profit centers. Marketing buys products from Manufacturing and addition to the Marketing division. Selected data: Manufacturing Division Marketing Division Capacity (units) Sales price (#) Variable costs (##) Fixed costs 500,000 $4,550 1,680 $10,000,00o 7,200,000 1,000,000 $1,400 560 # For Manufacturing, this is the price to third parties. ## For Marketing this does not include the transfer price paid to Manufacturing Manufacturing is located in Country X with a tax rate of 65% and Marketing in Country Y with a tax rate of 35% Required 1. Current production levels in Manufacturing are 500,000 units. Marketing requests an additional 100,000 units to produce a special order. What transfer price would you recommend? Why? 2. Suppose Manufacturing is operating at full capacity. What transfer price would you recommend? Why? 3. Suppose Manufacturing is operating at 920,000 units. What transfer price would you recommend? Why