Required information [The following information applies to the questions displayed below.] In each of the cases below, assume Division X has a product that can be sold either to outside customers or to Division Y of the same company for use in its production process. The managers of the divisions are evaluated based on their divisional profits. Case Division X: Capacity in units 105 , 000 104 , 000 Number of units being sold to outside customers 105, 000 83 , 000 Selling price per unit to outside customers 51 29 Variable costs per unit 27 Fixed costs per unit (based on capacity) 7 Division Y: Number of units needed for production 21 , 000 21 , 000 Purchase price per unit now being paid to an outside supplier 42 $ Required: 1. Refer to the data in case A above. Assume in this case that $4 per unit in variable selling costs can be avoided on intracompany sales. a. What is the lowest acceptable transfer price from the perspective of the selling division? b. What is the highest acceptable transfer price from the perspective of the buying division? c. What is the range of acceptable transfer prices (if any) between the two divisions? If the managers are free to negotiate and make decisions on their own, will a transfer probably take place? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Reg 1C