Tansfer Picing, Tdie Capecty Asgard Farmi. the, has a number of divigiens that produce jarms and jeilies, condiments and glowware. The Glasware Division manufactures a yarley of botties that can be sold externaily cte soft drink and juce bottien) of inteenally to Aagard Farmis anms Divish. Sales and cost data on a case of 24 basie 12'ounce botties are as followa: Frictical capacity in cases 560,000 =$392,000+1560,000 Dunng the coming yeac, the Gisswware Divsion expects to sell 450,000 cases of this botte. The lams and Jellies Divinion currenty plans to bur 55 , 180 caset on the cutaide market far fz. 13 esch. Bella Howard, mannger of the Glassware Division, approached Faul Wining, manager of the Jams and Jelies Divisian, and offered to sell the 95 , te0 cases for 12 as each. Bella axplained to Paul that she can avoid selling costs of 30.13 per case by selling internally and that she would spit the savings by offering a so.06 disecuet on the usual price. Required: 1. What is the minimum transfer price that the Giassware Division would be wuling to accept? Round to the nearest cent. per unit What is the maximum transfer price that the lams and Jelies Division would be willing to pay? Round to the nearest ceat. perunit Should an intemal transfer take place? What would be the benefit (or loss) to the firm as a whole if the internal transfer takes ploce? When required, roand your answer to the nearest dollar. 15 2. Suppose Faul knows that the Glasware Dwision has idie capacity. Do you think that he would agree to the tranafer pnce of s2.89? Suppose he counters with on offer to pay 52.39 . If you were belif. would you be interested in this price? 3. Suppose that Asgand Farmis policy is thet all internal transfers take place at full manufacturing cost. What would the tronsfer price be? Round to the nearest cent: per unte