Washington Lumber has a raw lumber division and a finished lumber division. The variable costs are as?follows:

? Raw lumber?division: $130 per 100?board-feet of raw lumber

? Finished lumber?division: $170 per 100?board-feet of finished lumber

Assume that there is no?board-feet loss in processing raw lumber into finished lumber. Raw lumber can be sold at $205 per 100?board-feet. Finished lumber can be sold at $370 per 100?board-feet.

Washington Lumber has a raw lumber division and a finished lumber division. The variable costs are as follows: . Raw lumber division: $130 per 100 board-feet of raw lumber Finished lumber division: $170 per 100 board-feet of finished lumber Assume that there is no board-feet loss in processing raw lumber into finished lumber. Raw lumber can be sold at $205 per 100 board-feet. Finished lumber can be sold at $370 per 100 board-feet. Read the requirements. Requirements - X Requirement 1. Should Washington Lumber process raw lumber into its finished form? Show your calculation Begin by selecting the formula you will use to make your decision. Then enter the amounts in the formula. (Us = Gain/(loss) on further proc 1. Should Washington Lumber process raw lumber into its finished form? Show your calculations. 2. Assume that internal transfers are made at 120% of variable cost. Will each division maximize its division operating-income contribution by adopting the action that is in the best interest of Washington Lumber as a whole? Explain. 3. Assume that internal transfers are made at market prices. Will each division maximize its division operating-income contribution by adopting the action that is in the best interest of Washington Lumber as a whole? Explain. Print Done