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Holiday Corp. has two divisions, Quail and Marlin. Quail produces a widget that Marlin could use in its production. Quail's variable costs are $5.80 per

Holiday Corp. has two divisions, Quail and Marlin. Quail produces a widget that Marlin could use in its production. Quail's variable costs are $5.80 per widget while the full cost is $8.80. Widgets sell on the open market for $15.60 each. If Quail has excess capacity, what would be the cost savings if the transfer were made and Marlin currently is purchasing 190,000 units on the open market?

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