6 requirments

Hrubec Products, Incorporated, operates a Pulp Division that manufactures wood pulp for use in the production of various paper goods, Revenue and costs associated with a ton of pulp follow: Hrubec Products has just acquired a small company that manufactures paper cartons. Hrubec plans to treat its newly acquired Carton Division as o profit center. The manager of the Carton Division is currently purchosing 6.700 tons of pulp per year from a supplier at a cost of \\( \\$ 97 \\) per ton. Hrubec's president is anxious for the Carton Division to begin purchosing its pulp from the Pulp Division if the managers of the two divisions can negotiate an acceptable tronsfer price Required: For (1) and (2) below, assume the Pulp Division can sell all of its pulp to outside customers for \\$104 per ton. 1. What is the Pulp Division's lowest acceptable transfer price? What is the Corton Division's highest occeptoble transfer price? What is the ronge of occeptoble tronsfer prices (f any) between the two divisions? Are the monogers of the Corton ond Puip Divisions likely to voluntarily ogree to o transfer price for 6.700 tons of pulp next year? 2. If the Pulp Division meets the price that the Corton Division is currenty poying to its supplier and sells 6,700 tons of puip to the Carton Division each year, whet will be the effect on the profits of the Pulp Division, the Carton Division, and the company os a whole? For (3)-16) below, assume that the Pulp Division is currently selling only 30,000 tons of pulp eoch year to outside customers at the stored \\( \\$ 104 \\) price. 3. What is the Pulp Division's lowest acceptable tronsfer price? What is the Corton Division's highest acceptable tronsfer price? Whot is the range of acceptoble tronsfer prices (f any) between the two divisions? Are the monogers of the Corton and Pulp Oivisions likely to voluntarily agree to a transfer price for 6.700 tons of pulp next year? 4 a. Suppose the Carton Division's outside supplier drops its price to only \\( \\$ 93 \\) per ton. Should the Puip Division meet this price? \\( 4-b \\). If the Pulp Division does not meet the \\( \\$ 93 \\) price, what will be the effect on the profits of the company as o whole? 5 Refer to requirement 4 . If the Pulp Division refuses to meet the \\( \\$ 93 \\) price, should the Corton Division be required to purchose from the Pulp Division ot a higher price for the good of the company os a whole? 6. Refer to requirement 4 . Assume that due to inflexible manogement policies, the Carton Division is required to purchose 6,700 tons of pulp eoch year from the Pulp Division at \\( \\$ 104 \\) per ton. What will be the effect on the profits of the company os o whole? Complete this question by entering your answers in the tabs below. A tronsfer price for 6,700 tons of pulp noxt year? voluntarily agree to a transfer price for 6,700 tons of pulp next year? 4-a. Suppose the Carton Division's outside supplier drops its price to only \\( \\$ 93 \\) per ton. Should the Pulp Division meet this pri 4-b. If the Pulp Division does not meet the \\( \\$ 93 \\) price, what will be the effect on the profits of the company as a whole? 5. Refer to requirement 4 . If the Pulp Division refuses to meet the \\( \\$ 93 \\) price, should the Carton Division be required to purche the Pulp Division at a higher price for the good of the company as a whole? 6. Refer to requirement 4. Assume that due to inflexible management policles, the Carton Division is required to purchase 67 of pulp each year from the Pulp Division ot \\$104 per ton. What will be the effect on the profits of the company as a whole? Complete this question by entering your answers in the tabs below. If the Pulp Division meets the price that the Carton Division is currently paying to its supplier and selis 6,700 tons of pulp to the Carton Division each year, what will be the effect on the profits of the Pulp Division, the Carton Division, and the company as a whole? (Do not round intermediate calculations.) Complete this question by entering your answers in the tabs below. What is the Pulp Division's lowest acceptable transfer price? What is the Carton Division's highest acceptable transfer price? What is the range of acceptable transfer prices (if any) between the two divisions? Are the managers of the Carton and Pulp Divisions likely to voluntarily agree to a transfer price for 6,700 tons of pulp next year? (Round your answers to nearest whole dollar amount.) 6. Refer to requirement 4 . Assume that due to inflexible management policies, the Carton Division is required to purchase 6 of pulp each year from the Pulp Division at \\( \\$ 104 \\) per ton. What will be the effect on the profits of the company as a whole? Complete this question by entering your answers in the tabs below. Suppose the Carton Division's outside supplier drops its price to only \\( \\$ 93 \\) per ton. Should the Pulp Division meet this price? Complete this question by entering your answers in the tabs below. If the Pulp Division does not meet the \\( \\$ 93 \\) price, what will be the effect on the profits of the company as a whole? Complete this question by entering your answers in the tabs below. Refer to requirement 4. If the Pulp Division refuses to meet the \\( \\$ 93 \\) price, should the Carton Division be required to purchase from the Pulp Division at a higher price for the good of the company as a whole? Should the Carton Division be required to purchase from the Pulp Division Complete this question by entering your answers in the tabs below. Refer to requirement 4. Assume that due to Inflexible management policies, the Carton Oivision is required to purchase 6,700 tons of pulp each year from the Pulp Division at \\( \\$ 104 \\) per ton. What will be the effect on the profits of the company as a whole