=+The vice-president explored further the cost structures of the various divisions. He remembered a comment that the controller had made at a meeting the week before to the effect that costs wh ich were variable for one division could be largely fixed for the company as a whole. He knew that in the absence of specific orders from top management, Mr Kenton would accept the lowest bid, wh ich was that of the West Paper Company for $430. However, it would be possible for top management to order the acceptance of another bid if the situation warranted such action. And though the volume represented by the transactions in question was less than 5% of the volume of any of the divisions involved, other trans actions could conceivably raise similar problems later.