Required: 1. Determine whether the Cole Division should sell motors to the Diamond Division at the...
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Required: 1. Determine whether the Cole Division should sell motors to the Diamond Division at the prevailing market price, or accept the Wales Company contract. (Enter your answers in thousands.) From the Cole Division Point of View: Contribution margin from Wales contract Contribution margin from Diamond Sale Difference Accept or Reject the Wales contract? From the Point of View of the Cost to the Entire Company: Cole transfers to Diamond Cole sells to Wales Difference Accept or Reject the Wales contract? Accept Accept Required: 1. Determine whether the Cole Division should sell motors to the Diamond Division at the prevailing market price, or accept the Wales Company contract. (Enter your answers in thousands.) From the Cole Division Point of View: Contribution margin from Wales contract Contribution margin from Diamond Sale Difference Accept or Reject the Wales contract? From the Point of View of the Cost to the Entire Company: Cole transfers to Diamond Cole sells to Wales Difference Accept or Reject the Wales contract? Accept Accept
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