Refer to the data in Exercise 15-20. Assume the transfer price is unchanged from the current transfer price.

Required
a. Does Tops Corporation want to accept this order?
b. Will the Marketing Division manager be willing to accept this order?
c. Will the Manufacturing Division manager be willing to accept this order?

Exercise 15-20

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Manufacturing Marketing $5,000 Revenues $3,000 Variable costs 2,400 3,700 Contribution margin $ 600 $1,300 Fixed costs 500 800 Divisional profit $ 100 $ 500