Answer:
<u>efficiency</u>, <u>flexibility.</u>
Explanation:
For the predictable demand, Zara strives for <u>efficiency</u>, and for the unpredictable demand, Zara hopes to achieve <u>flexibility</u><u>.</u>
Zara seeks efficiency for the predictable demand because this type of demand can be programmed and controlled internally, that is, the items of this demand will be used for the production of other items, therefore it is necessary to have an estimate of the future demand, so that can forecast resources to supply demand efficiently.
In the case of unpredictable demand, Zara seeks flexibility, as this demand works according to market and consumption trends.
Answer:
Following would be the journal entries in the books of Elizabeth Procter,
On July 1, 2013.
Notes Receivable A/C Dr. $80,000
To Equipment A/C $80,000
(Being equipment sold against notes receivable being recorded)
On June 30, 2014
Notes Receivable A/C Dr. 9600
To Interest Revenue A/C 9600
(Being accrued interest on notes receivable recorded)
On Sept 2014,
Cash A/C Dr. 92,000
To Notes Receivable A/C $80,000
To Interest Receivable A/C $9600
To Interest Revenue A/C $2400
(Being notes receivable and interest received receipt being recorded)
Interest Revenue refers to the income which has been earned as on a date.
Interest Receivable refers to the income which has not been received and which has been outstanding.
Answer:
Lahdekorpi OY, a Finnish corporation and Three-O Company, a subsidiary incorporated in the United States
Transfer Pricing:
a) The best transfer pricing method in this case is the cost plus method. This gives the transfer price as Cost + 50%.
b) The appropriate transfer price should be $3 ($2 x 1.5).
Explanation:
Transfer pricing arises when controlled entities set prices for exchange of goods and services. When Lahdekorpi OY, a Finnish corporation, sells wooden puzzles to Three-O Company, given their relationship, transfer pricing has arisen. It is the assignment of cost for goods and services exchanged between related parties, like a parent and a subsidiary.
There are many Transfer Pricing methods which entities and the taxing authorities can use to determine the best transfer price. According to the Organisation for Economic Co-operation and Development (OECD) Multinational Entities and tax authorities can use any of these five main transfer pricing methods:
a) Comparable uncontrolled price (CUP) method. The CUP method is grouped by the OECD as a traditional transaction method (as opposed to a transactional profit method)
b) Resale price method
c) Cost plus method
d) Transactional net margin method (TNMM)
e) Transactional profit split method.
Answer:
if s buyer thinks it high the manager or whoever will raise the price and vice versa
Explanation:
Answer:
The answer is given below;
Explanation:
Average return on 3D printer=24,080/(40,000-3,000)=65%
Average return on truck amount=$36,400/(50,000-6,000)=83%
Average expected return on truck is higher as compared to 3D printer
