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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,

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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: Selling price per circuit board 3 188 Variable cost per circuit board 5 129 Number of circuit boards: Produced during the year 21,300 Sold to outside customers 14,500 Sold to Division B 6,300 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 B incurred $300 in additional variable cost per instrument and then sold the instruments for $660 each. Required: 1. Prepare income statements for Division A, Division B, and the company as a whole. 2. Assume Division A's manufacturing capacity is 21.300 circuit boards. Next year, Division B wants to purchase 7,800 circuit boards from Division A rather than 6,800. {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? Complete this question by entering your answers In the tabs below. Required 1 Required 2 Prepare inoome statements for Division A, Division B, and the company as a whole. Expenses: Added by the division Total expenses 0 Cl 0 Net oparaiing income $ [1 $ 0 $ 0

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