holiday corp has two divisions quail and marlin. quail produces a widget that marlin could use in its production. quails variable cost are $4 per widget while the fulls cost is $7. widgets sell on the open market for $12 each.

A. if quail has excess capacity, what would be the cost savings for Holiday if the transfer was made and marlin currently is purchasing 100,000 units on the open market.

b. what would be the maximum transfer price?

c. if quail is operating at capacity, what would be the minimum transfer price?