Answer:
Dockside Enterprises
The minimum transfer price per hour that the repair division should obtain for its services, assuming it is operating at capacity is:
= $47.
Explanation:
Repair division's estimated variable cost per labor-hour = $37
Standard selling price per labor-hour = $77
Labor cost of the hire of outside repair workers per hour = $47
Minimum transfer price = the variable costs plus a calculated opportunity cost
Minimum transfer price = $47 ($37 + $10)
Calculated opportunity cost = $10 ($47 - $37)
B. Payments to companies for hiring of workers
Answer:
$36,000
Explanation:
Calculation to determine what the segment margin for Product P was
Using this formula
Net operating profit= (Segment margin Q + Segment margin P) - Common fixed expenses
Let plug in the formula
28,000= (52,000 + segment margin P) -60,000
88,000= 52,000 + segment margin P
36,000= segment margin P
Therefore the segment margin for Product P was:$36,000
I say C makes the most since in the sentence
Answer:
Explanation:
Income Statement
$
Revenue 32,800
Expenses <u> (14,600) </u>
Profit <u> 18,200 </u>
Statement of changes in stockholders’ equity
Retained Earnings :
Profit for the year 18,200
Cash dividend paid <u>(2,900 )</u>
Retained earnings as at 31/12/18 <u> 15,300 </u>
Balance sheet
Current Asset :
Cash Balance ( 32,800-2900) 29,900
Stockholders' Equity :
Retained earnings 15,300
