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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 $6.00

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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 $6.00 per widget while the full cost is $9.00. Widgets sell on the open market for $16.00 each. If Quail has excess capacity, what would be the cost savings if the transfer were made and Marlin currently is purchasing 200,000 units on the open market? Multiple Choice $0 $1,800,000 $2,000,000 $3,200,000

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