Truball Inc., which manufactures sports equipment, consists of several operating divisions. Division A has decided to go outside the company to buy materials since division B plans to Increase its selling price for the same materials to $200. Information for division A and division B follows: Outside price for materials Division A's annual purchases Division B's variable costs per unit Division B's fixed costs, per year Division B's capacity utilization $180 13,000 units $170 $1,319, see lees Required: 1. Assume that division B cannot sell its materials to outside buyers. Calculate the net cost or benefit to the company as a whole if Division A purchases the materials outside the company. 2-a. Assume that division B can save $220,000 in fixed costs If It does not manufacture the material for Division A. Calculate the net cost or benefit to the company as a whole for A to purchase outside the company. 2-6. From the standpoint of the effect of the transaction on the company as a whole, should Division A purchase from the outside market? 3-a. Assume the situation in Requirement 1. If the outside market value for the materials drops $23, calculate the net cost or benefit to the company as a whole for A to purchase outside the company. 3-b. From the standpoint of the effect of the transaction on the company as a whole, should Division A purchase from the outside market? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 2e Reg 3A Reg 3B Assume that division B cannot sell its materials to outside buyers. Calculate the net cost or benefit to the company as a whole if Division A purchases the materials outside the company. (Enter all the amounts as positive value.) Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 28 Req 3A Reg 38 Assume that division B can save $220,000 in fixed costs if it does not manufacture the material for Division A. Calculate the net cost or benefit to the company as a whole for A to purchase outside the company. (Enter all the amounts as positive value.) Complete this question by entering your answers in the tabs below. Reg 1 Req 2A Reg 2 Reg Req 3B From the standpoint of the effect of the transaction on the company as a whole, should Division A purchase from the outside market? lores ONO Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A Reg 2 Req 3A Reg 38 Assume the situation in Requirement 1. If the outside market value for the materials drops $23, calculate the net cost or benefit to the company as a whole for A to purchase outside the company. (Enter all the amounts as positive value.) Req 3B > Net benefit to the company as a whole for A to buy outside Net cost to the company as a whole for A to buy outside Complete this question by entering your answers in the tabs below. Req 1 Reg 2A Reg 2 Req Req 3B From the standpoint of the effect of the transaction on the company as a whole, should Division A purchase from the outside market? TOYes Ono