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Division A manufoctures electronic circuit boards that can be sold to Division B of the same company or to outside customers. Last year, the following

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Division A manufoctures electronic circuit boards that can be sold to Division B of the same company or to outside customers. Last year, the following activity occurred in Division A: 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 $210 in odditional variable cost per instrument and then sold the instruments for $670 each. Required: 1. Colculate the net operating incomes earned by Division A, Division B, and the company as a whole. 2. Assume Division As manufacturing capacity is 21,500 circuit boards. Next yeor, Division 8 wants to purchase 6,600 circuit boards. from Division A rather than 5,600 . (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 1,000 additional circuit boards to Division B or continue selling them to outside customers? Complete this question by entering your answers in the tabs below

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