Wordsmith is a publishing company with several different book lines. Each line has contracts with different authors. The company also owns a printing operation called Pronto Press. The book lines and the printing operation each operate as a separate profit centre. The printing operation earns revenue by printing books by authors under contract with the book lines owned by Wordsmith, as well as authors under contract with other companies. The printing operation bills out at $1.00 per 100 pages and a typical book requires 400 pages of print. A manager of Business Books, one of Wordsmith's book lines, has approached the manager of the printing operation and offered to pay $0.007 per page for 1,180 copies of a 400-page book. The book line pays outside printers $0.008 per page. The printing operation's variable cost per page is $0.006. (a) Determine whether the printing should be done internally or externally, and the appropriate transfer price, under each of the following situations: (Round answers to 3 decimal places, e.g. 15.251.) 1. Assume that the printing operation is booked solid for the next two years, and it would have to cancel an obligation with an outside customer in order to meet the needs of the internal division. Printing should be done externally and the transfer price is $ 0.41 2. Assume that the printing operation has available capacity. Printing should be done and the transfer price is $