Division A manufactures electronic circuit boards. The boards can be sold either to Division B of the same company or to outside customers. Last year, the following activity occurred in Division A $ 5 189 114 Selling price per circuit board Variable cost per circuit board Number of circuit boards: Produced during the year Sold to outside customers Sold to Division 8 21,900 14,900 7,000 Sales to Division B were at the same price as sales to outside customers. The circuit boards purchased by Division B were used in an electronic Instrument manufactured by that division (one board per instrument). Division Bincurred $270 in additional variable cost per instrument and then sold the instruments for $650 each Required: 1. Calculate the net operating incomes earned by Division A Division B, and the company as a whole. 2. Assume Division A's manufacturing capacity is 21.900 circuit boards Next year Division B wants to purchase 8,000 circuit boards from Division A rather than 7000. (Circuit boards of this type are not available from outside sources. From the standpoint of the company as a whole should Division A sell the 1000 additional circuit boards to Division B or continue to sell them to outside customers? Required 1 Required 2 Calculate the net operating incomes earned by Division A, Division B, and the company as a whole Division A Division B Total Company Sales Expenses Added by the division Transfer price paid Total expenses Not operating income Assume Division A's manufacturing capacity is 21,900 circuit boards. Next year, Division B wants to purchase 8,000 circuit boards from Division A rather than 7,000. (Circuit boards of this type are not available from outside sources. From the standpoint of the company as a whole, should Division A sell the additional 1,000 circuit boards to Division B or continue to sell them to outside customers? Show less Continue to sell the additional 1.000 circuit boards to outside customers O sell the 1,000 additional circuit boards to Division B