Answer:
the minimum price it should charge is $40 per unit.
Explanation:
Minimum Transfer Price = Variable Costs - Internal Savings + Opportunity Cost
<em>Note : Division A has capacity available to meet B's requirements therefore there is no opportunity cost</em>.
There are Internal savings of $5 as A's variable costs will be $5 less per unit.
Minimum Transfer Price = $45 - $5
= $40
Answer:
Tax shield on depreciation = 600
Explanation:
given data
new piece of equipment = $11,000
salvage value = $1,000
marginal tax rate = 30%
average tax rate = 20%
time period = 5 year
to find out
net effect of annual depreciation on the free cash flow
solution
we know here cost of asset and Salvage value so we get depreciation cost
depreciation cost is = 11000 - 1000 = 10000
and
annual depreciation = 2000
so that Tax shield on depreciation will be
Tax shield on depreciation = 2000 × 30%
Tax shield on depreciation = 600
The form of departmentalisation that the construction company responsible for building the taxi rank followed was <u>product departmentalization</u><u>.</u>
Product departmentalization is peculiar to a bug company that deals with multi-products. Construction company may be responsible for taxis, trucks or buses. Construction company responsible for taxi rank in this case grouped all the activities related to the taxis in a specific department.
Product departmentalization becomes vital when producing, marketing, and handling of every product hold certain importance for the company. It requires the company to ensure specialized production facilities.
<h3>What is departmentalization?</h3>
Departmentalization is an establishment structure that divides people into groups, or departments, based on certain sets of criteria. These departments have their own leadership and work together to complete tasks.
Therefore, the correct answer is as given above
learn more about departmentalization: brainly.com/question/6229273
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Answer:
shareholders A and B will each have 30 votes (each invested $30,000)
shareholders C and D will each have 20 votes (each invested $20,000)
shareholder E will have 10 votes (only invested $10,000)
total number of possible votes = (30 x 2) + (20 x 2) + 10 = 110 votes
any decision must be approved by more than 50% of the votes, but since the votes are bundled in tens, 60 votes are needed.
Stockholders number of
<u>A B C D E </u> <u> positive votes</u> <u> win</u>
yes no no no no 30 no
yes yes no no no 60 yes
yes no yes no no 50 no
yes no no yes no 50 no
yes no no no yes 40 no
yes yes yes no no 80 yes
yes yes no yes no 80 yes
yes yes no no yes 70 yes
yes yes yes yes no 100 yes
yes yes yes no yes 90 yes
yes yes yes yes yes 110 yes
no yes no no no 30 no
no yes yes no no 50 no
no yes no yes no 50 no
no yes no no yes 40 no
no yes yes yes no 70 yes
no yes yes no yes 60 yes
no yes no yes yes 60 yes
no yes yes yes yes 80 yes
all other combinations result in negative outcome (less than 60)
<span>b. companies always carefully test any claims that they make about a product </span>