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Peppertree Company has two divisions, East and West. Division East manufactures a component that Division...

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Accounting

Peppertree Company has two divisions, East and West. Division East manufactures a component that Division West uses. The variable cost to produce this component is $1.51 per unit; full cost is $1.94. The component sells on the open market for $4.98. (Enter your answers in 2 decimal places.) Assuming Division East has excess capacity, what is the lowest price Division East will accept for the component? Assuming Division East has excess capacity, what is the highest price that Division West will pay for it?

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