Help me with this question please, thank you.

KC! Development Company has an Accessories division that produces various computer accessories and is evaluated on divisional prots. Cine of the accessories produced by the Accessories division is a solid. state drive {BSD}. The 33D is sold both to thirdvparty distributors as well as transferred internally to the laptops division of KQ Development Company. The Accessories division has the capacity to produce Jlll SSDs. External market demand for KQ's SSDs is 35.tlll. In addition, the laptops division requires Eilltl SSDs. The accessories division sells the BSD to tl'iird~partyr distributors at $405. Variable costs of producing an SSD is $160 and fixed costs are $5.5 million. One of the parts of the SSD is a controller that is currently produced by the Accessories division. The variable cost of producing one controller is $311]. In addition, the controller is manufactured on a machine exclusively used Jfor controllers. Currently, this machine is leased by the Accessories division for $1.5 million. The current lease on the machine is about to expire. The manager of the Accessories division is deciding whether to renew the lease since a neighboring firm has offered to supply the Accessories division with the controllers at $103 per controller. {a} Would KQ Development Company prefer outsourcing controller production? (0.5 point} {b} If KQ Development Company uses the optimal transfer pricing rule for internal transfers, will the manager of the Accessories division prefer to outsource the production of controllers? {(1.5 point] {e} If KQ Development Company uses full absorption costing for internal transfers. will the manager of the Accessories division prefer to outsource the production of control lers? [0.5 point)