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Division A manufactures electronic circuit boards. The boards can be sold either to Division of the same company or to outside customers. Last year, the

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Division A manufactures electronic circuit boards. The boards can be sold either to Division of the same company or to outside customers. Last year, the following activity occurred in Division A 183 $ 5 114 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 217e 14,900 6.800 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 $200 in additional variable cost per Instrument and then sold the instruments for $660 each Required: 1 Calculate the net operating incomes earned by Division A. Division B, and the company as a whole 2. Assume Division As manufacturing capacity is 21700 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 1000 additional 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 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 0 Net operating income $ 0$ $ D

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