Answer:
Minimum transfer price = $21
Explanation:
<em>Transfer price is the price at which goods are exchange between branches or divisions of the same group</em>
<em>Where a division is operating at the less than the existing capacity, to optimist the group profit, the minimum transfer price should be set as follows</em>
Minimum transfer price = Variable cost
Note that the fixed of $12 per unit (i.e 33-21) is irrelevant for this purpose, whether or not Hinges produces, it will be incurred either way.
It is worthy of note that there is no opportunity cost associated with any transfer to the Doors division because Hinges is currently having excess capacity.
Therefore, any offering price equal to or above the variable cost of $21 would be acceptable and optimize the group profit.
Hence, the minimum transfer price = $21
Answer:
(D) Specialize in producing something that it is relatively good at producing.
Explanation:
When a country specialises in production of a good it is relatively good at producing, its citizens will not find it difficult to manufacture the good for local consumption and export.
If the country needs product it is not good at producing it imports it from other countries that have a competitive advantage in producing it.
This will produce maximum material comfort for its citizens.
Answer: False
Explanation:
Intellectual capital simply refers to the intangible assets and the resources that helps in the contribution to the value of a particular company or enterprise and help such company to gain competitive advantage over its counterparts.
It should be noted that these assets and resources aren't caught by the traditional accounting reports.
The above statement means that the statement in the question is wrong. Intellectual capital are not caught by traditional accounting reports.
Accepting a good-quality lot would be a <u><em>correct decision.</em></u>
OPTION B "correct decision" is the right answer according to Acceptance Sampling model.
Utilized in quality assurance, acceptance sampling is a statistical method for measuring the reliability of a product or service. It enables a business to ascertain a batch's quality by randomly sampling from it. The standard of quality for the whole set of products will be assumed to be equal to that of the selected sample.
It is impossible for a corporation to constantly test every single one of its goods. It's possible there are too many to inspect efficiently or cheaply. Extensive testing could also compromise the product's quality or render it unmarketable. If a representative sample were tested, the results would be accurate without jeopardizing the rest of the production run.
Acceptance sampling is a method of quality control in which a representative sample of a product batch is tested and its quality is inferred from the results. Acceptance sampling is useful for quality control when implemented properly.
To know more about Acceptance sampling refer to:
brainly.com/question/28192251
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Answer:
$4,089 Unfavorable
Explanation:
Data provided
Standard variable rate = $9.20
Direct labor hours = 1,160
Variable manufacturing overhead costs = $14,761
The computation of variable overhead rate variance is shown below:-
Variable overhead rate variance = (Standard variable rate - (Variable manufacturing overhead costs ÷ Direct labor hours)) × Direct labor hours
= ($9.20 - ($14,761 ÷ 1,160) × 1,160
= ($9.20 - $12.725) × 1160
= $4,089 Unfavorable
Therefore for computing the variable overhead rate variance we simply applied the above formula.
