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Delvig [45]
3 years ago
14

Sandpiper Inc. has a division that manufactures a component that sells for $ 160$160 and has a variable cost of $ 30$30. Another

division of the company wants to purchase the component. Fixed cost per unit of the component is $ 20$20. What is the minimum transfer price if the division is operating at​ capacity?
Business
1 answer:
netineya [11]3 years ago
4 0

Answer:

If the division is operating at full capacity and selling all the units that it produces, then it must treat the other division as a normal customer, so the selling price should be the same ($160 per unit). The company is currently making $110 in profits per unit sold (= $160 - $30 - $20 = $110).

If the division sold their products at a lower price, they would be losing money, and no division wants to lose money in order to benefit another division and make them earn higher profits.

If the division was operating below full capacity, then it could sell their products at a lower value.

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Part-time workers who want full-time work are counted as: A.) fully employed and therefore the official unemployment rate may ov
Vesnalui [34]

Answer: B

Explanation:

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3 years ago
Ultimately, the study of international business is no different from the study of domestic business. Thus, there is no point in
insens350 [35]

Answer:

Explanation:

Where the culture and the mode of living are completely different, international business is going beyond boundaries.

People of single culture and region are been dealt with in the domestic business, and it is easy to know what the customer needs. Many cultures are been dealt with when it comes to international business, and there is a need for product customization as per the location. This would require a team that manages these issues in each region.

Hence, when compared to domestic business, the business will be in a large mode. Thus, there is a separate course for international business which helps us to reach the heights we require to see the whole world.

Based on the explanation above, the statement given in the question is false.

7 0
3 years ago
Lorraine works for a company that does not pay very well. She relies heavily on extra paychecks that her company gives out a cou
Nataliya [291]

Answer: Bonus pay plan of individual-level performance-based pay

Explanation:

In this scenario, an extrinsic reward used here is the bonus pay plan. An extrinsic reward simply means a reward that is being given to the employee of a particular company after a particular thing has been achieved.

Here, a bonus pay plan of individual-level performance-based pay is being used. A bonus is given to the employee for meeting a particular requirements. Bonus are calculated base on either the percentage of ones wages or salaries or by using a flat rate.

3 0
3 years ago
Jakarta Company is a service firm with current service revenue of $500,000 and a 40% contribution margin. Its fixed costs are $8
Lady_Fox [76]

Answer and Explanation:

The computation of the margin of safety is shown below:

As we know that

margin of safety = Actual sales - break even sales

For Jakarta, it is

= $500,000 - ($80,000 ÷ 0.40)

= $500,000 - $200,000

= $300,000

And, for maldives, it is

= $6,620,000 - ($2,151,500 ÷ 50%)

= $2,317,000

7 0
3 years ago
Your grandfather started his own business 52 years ago. He opened an investment account at the end of his third month of busines
Yakvenalex [24]

Answer:

The answer is:D) $226.78

Explanation:

To calculate the amount of money your grandfather deposited every 3 months during 52 years to get $289,209.11 we can use an excel spreadsheet and the payment function =PMT(rate,nper,pv,fv)

where:

  • rate = 5.73% / 4 = 1.4325%
  • nper = 52 x 4 = 208
  • pv = 0
  • fv = 289,209.11

PMT = $226.78

6 0
3 years ago
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