The use of intermediaries is the primary difference between the two.
Explanation:
Direct distribution channel is one in which the consumer is directly connected to the manufacturer and there is no use of a distribution system that is separate from them and there are no intermediaries.
The contact between the two is direct.
To the contrary in an indirect distribution channel there is no direct connection between the manufacturer and the person who is actually buying the product and the business is being mediated by the middlemen.
Answer:
Minimum transfer price when operating at capacity is the marginal cost + opportunity cost
Maximum transfer price is marginal cost only, when not operating at capacity.
Explanation:
Minimum transfer price when operating at capacity is the marginal cost + opportunity cost because when operating at capacity there are 2 elements involved - the cost at which it has made the units it will be transferring to another department within the organisation, and the profit it would have made if it had sold those units to others (opportunity cost)
Maximum transfer price is marginal cost only, when not operating at capacity because the department is constrained, it can only produce for the satisfaction of internal demand, not external customers; hence there is no case of opportunity costs.
Answer: Problem-Solution
Explanation: Problem solution pattern is process of moving from a start state (problem) to a goal state (solution).
Margot starts from talking about child obesity and how this can be resolved.
<span>a.
</span>Compare designated amounts from the accounts
payable listing with the voucher and supporting entitites.
<span>b.
</span>Select a sample of receiving documents for a few
days before and after year end.
<span>c.
</span>Obtain a listing of the accounts payable and
agree total to general ledger control account.
<span>d.
</span>Review drafts of the financial statements