Please answer every part. Thank you
The Coley Company is decentralized, and divisions are (Click the icon to view additional information.) considered investment centers. Coley has one division that manufactures oak dining room chairs with Read the requirements. upholstered seat cushions. The Chair Division cuts, assembles, and finishes the oak chairs and then purchases and attaches the seat cushions. Requirement 1. Determine the total contribution margin for Coley Company for the quarter. Total Requirement 2. Assume the Chair Division purchases the 900 cushions needed from the Cushion Division at its current sales price. What is the total contribution margin for each division and the company? More info The Chair Division currently purchases the cushions for $25 from an outside vendor. The Cushion Division manufactures upholstered seat cushions that are sold to customers outside the company. The Chair Division currently sells 900 chairs per quarter, and the Cushion Division is operating at. capacity. which is 900 cushions per quarter. The two divisions report the following information: Requirement 2. Assume the Chair Division purchases the 900 cushions needed from the Cushion Division at its current sales price. What is the total contribution margin for each division and the company? Requirement 3. Assume the Chair Division purchases the 900 cushions needed from the Cushion Division at its current variable cost. What is the total contribution margin for each division and the company? (Enter " 0 " for any zero amounts.) Total Requirement 4. Review your answers for Requirements 1, 2, and 3. What is the best option for Coley Company? Than hanat antinn forr Colour ie By having the Chair Division purchase the cushions from an outside vendor, the company would generate in total contribution margin than if the division purchases cushions internally. Kequirement 5 . Assume the Cushion Division has capacity of 1,800 cushions per quarter and can continue to supply its outside customers with 900 cushions per quarter and also supply the Chair Division with 900 cushions per quarter. What transfer price should Coley Company set? Explain your reasoning. Using the transfer price you determined, calculate the total contribution margin for the quarter. because the Chair Division would not be willing Coley Company should set the transfer price at to pay more than