ent Division
The Laundry Equipment Division based its case on the following arguments:
1. The division could have purchased a .........., comparable in performance
characteristics to the Gear and .................. Division’s unit, from Thorndike the Machining Corporation for $11.21
2. The Gear and Transmission Division had agreed to this price in consideration of being allowed to produce a1l the transmissions.
3. The intracompany pricing policy was that the supplying divisions should sell at competitive prices.
The general manager of the Laundry Equipment Division stated that it would be unfair to penalize him for keeping the transmission business inside the corporation as a benefit to the Gear and Transmission Division, particularly