press corporation is a multi-divisional company and its managers have been delegated full profit responsibility and complete autonomy to accept or reject transfer from other divisions. Division A produces 1,000 units of a subassembly that had a ready market. one subassembly is currently used by division b for each final product manufactured, the latter of which is sold to outsiders for $1,400. Division A charges the division B the $900 market price for the subassembly. variable costs are $600 and $500 for divisions A and B respectively.

the manager of Division B feels that A should transfer the subassembly at a lower price because B is currently unable to make a profit

part a: calculate the contribution margins (total dollars and per units) of division a and b, as well as the whole company as a whole if transfers are made at market price

part b: assume thatbdivision a can sell all of its production in the open market. from the company's perspective should Division A transfer goods to division B? if so, at what price?

part c: Assume that conditions have changed and A can sell only 500 units in the market at $800 per unit. from the company's perspective, should A transfer all 1,000 units to B or sell 500 in the market and transfer the remainder? show calculations to support your answer