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Coronado Industries manufactures and sells high-priced motorcycles. The Engine Division produces and sells engines to other motorcycle companies and internally to the Production Division. It

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Coronado Industries manufactures and sells high-priced motorcycles. The Engine Division produces and sells engines to other motorcycle companies and internally to the Production Division. It has been decided that the Engine Division will sell 11000 units to the Production Division at 1050 a unit. The Engine Division, currently operating at capacity, has a unit sales price of $1650 and unit variable costs and fixed costs of $1050 and $600, respectively. The Production Division is currently paying $1500 per unit to an outside supplier. 560 per unit can be saved on internal sales from reduced selling expenses. What is the increase/decrease in overall company profits if this transfer takes place? O Decrease $1650000 O Decrease $990000 Increase $600000 Increase $4950000

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