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Division A manufactures electronic circult boards. The boards can be sold elther to Division B of the same company or to outside customers. Last year,
Division A manufactures electronic circult boards. The boards can be sold elther to Division B of the same company or to outside customers. Last year, the following actlitty occurred In Division A: Sales to Division B were at the same price as sales to outside customers. The clrcult boards purchased by Division B were used In an electronic instrument manufactured by that dlvision (one board per instrument). Division B incurred $220 In addltional varlable cost pe instrument and then sold the instruments for $630 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 21,300 circult boards. Next year, Divislon B wants to purchase 7,300 circult boards from DivIsion A rather than 6,300 . (Circult boards of this type are not avallable from outside sources.) From the standpoint of the company as a whole, should Division A sell the 1,000 addlitional clrcult boards to Division B or continue to sell them to outside customers? Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the net operating incomes earned by Division A, Division B, and the company as a whole
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