Answer:
Lost contribution per unit = $56 per unit
Explanation:
The Division X is operating at less than full capacity, hence it has excess capacity of 600 units i.e (5000- 4,400)
This implies that it can only produce to meet the external and a portion of Division Y demand
Since Division X can only accommodate a portion of the internal demand, an opportunity would arise if it decides to meet all the request of Division Y.
Therefore, the minimum transfer price
minimum transfer price= Variable cost + a lost contribution from internal supply
The lost contribution represent the amount Division X would have made had sold the units to external buyers
Lost contribution per unit = $56 per unit
Closing mines has economic impacts on communities. It cuts off all the many advantages that are attached to mineral resources and have negative impacts on the government returns for that community. Thus, the answer is false.
Answer:
issues that were discussed in the meeting
Explanation:
Answer:
Segment management is best suited for: _____________
d. businesses who do not yet identify or differentiate their customers individually
Explanation:
Segment management is aimed at grouping customers according to their individual characteristics and value so that maximum benefits can be derived by the customers and the profitability of the company will be impacted positively in the long-term. A business that can identify customers individually and differentiate them by value is already doing segment management. It is the business that does not yet identify or differentiate their customers that should embrace segment management.
