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OLga [1]
3 years ago
9

When the selling division in an internal transfer has unsatisfied demand from outside customers for the product that is being tr

ansferred, then the lowest acceptable transfer price as far as the selling division is concerned is:
Business
1 answer:
Kruka [31]3 years ago
6 0

Answer: c. the market price charged to outside customers

Explanation:

When a division is able to sell its products to customers outside the company for a certain price but instead has to transfer these to another division in the company, the minimum transfer price will have to be the selling price to the customers outside so that the division would not make losses.

The division that this good is transferred to will then reflect the cost of acquiring the goods as that selling price. This cost will be accounted for when the new division wants to sell their own goods that way this cost will be recuperated on a company level.

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Eastport Inc. was organized on June 5, 2018. It was authorized to issue 300,000 shares of $10 par common stock and 50,000 shares
exis [7]

Answer:

A) Cash (debit) 180,000; Common stock (credit) 150,000; Additional paid-up capital-common stock (credit) 30,000 - Debit - Credit = 0

B) Cash (debit) 255,000; Preferred stock (credit) 250,000; Additional paid-up capital-preferred stock (credit) 5,000 - Debit - Credit = 0

C) Cash (debit) 900,000; Common stock (credit) 600,000; Additional paid-up capital-common stock (credit) 300,000 - Debit - Credit = 0

Explanation:

In Eastport Inc.´s case all 3 situations are similar, shares (Stockholders´Equity) increased, so credits in 4 accounts, according to the type of shares that are issued, must be registered: Common stock, Preferred stock, Additional paid-up capital-common stock, Additional paid-up capital- preferred stock. We will recognize the par value and stated value of the shares and the difference between this and the price paid by shareholders will be recognized as additional paid-up capital. Also, cash (Asset) is received as payment for the shares so a debit must be registered in the account Cash.

8 0
3 years ago
Read 2 more answers
Why do you need to create an effective advertising message? An effective advertising message tells customers about the specific
Zepler [3.9K]

Answer:

An effective advertising message tells customers the benefits of what you have to offer.

Explanation:

The main goal of an effective advertising message is to convince the potential customer population that their product is right for them and is the best choice in the current market. This is done by telling customers the benefits of what you have to offer. If the advertisement shows customer that the product provides a needed benefit to them it will be an efficient advertisement and convince them to buy it.

5 0
3 years ago
Water is flowing in a trapezoidal channel at a rate of Q 5 20 m3/s. The critical depth y for such a channel must satisfy the equ
irina1246 [14]

Answer / Explanation:

Kindly note that the question is incomplete. However, kindly find the complete question below and the answer.

Complete Question

Water is flowing in a trapezoidal channel at a rate of Q=20m³/s . The critical depth y for such a channel must satisfy the equation:

0 = 1 − Q² / gA³c . B Where g= 9.81m /s²  and Ac = the cross-section area can be related to depth y by B = 3+y and Ac = 3y+y²/2. Solve for the critical depth using (a). the graphical method,

Answer:

Given the equation,

0 = 1 − Q² / gA³c. B

Now substituting the given value g= 9.81m /s² , Q =20m³/s, B = 3+y, and Ac = 3y+y²/2,

We get:

0 = 1 - 20² / (9.81) ( 3y + y²/2)³ (3+y)

Hence we choose f(y) =  1 - 40.7747 / (3y + y²/2)³ . (3 + y) and solve for f(y) = 0

Therefore,

To solve using a graph, we take twelve sample points ( starting at y = 0.25 in step of 0.25m and plot a graph using MS- Excel. Kindly find the graph below.

2) As evident from the sample point and the graph function f(y) gets close to zero at y = 1.5, hence the root of f(y) = 0 is Xr = 1.5

6 0
3 years ago
Victor Rumsfeld Inc.'s dividend policy is under review by its board. Its projected capital budget is $2,000,000, its target capi
Tanzania [10]

Answer:

The residual dividend is -$200,000, therefore If the company follows a residual dividend policy the total dividends will be $0

Explanation:

In order to calculate the total dividends, if any, will it pay out, we would have to calculate first the residual dividend a follows:

residual dividend=forecasted net income-(percentage equity*capital budget)

According to the given data we have the following:

forecasted net income=$600,000

percentage equity=40%

capital budget=$2,000,000

Therefore, residual dividend=$600,000-(40%*$2,000,000)

residual dividend=-$200,000

The residual dividend is -$200,000, therefore If the company follows a residual dividend policy the total dividends will be $0

8 0
4 years ago
The internal rate of return: Multiple Choice
Oduvanchick [21]

Answer: Option C

                       

Explanation: Internal rate of return is used less in common business world as the  most popular measure is the net present value which shows how much profit will a company make by choosing to do a project.

IRR produce different results for unconventional cash flows and NPV is used for evaluating mutually exclusive projects. IRR shows the rate of return from the investment but is vague as the overall result is shown by the net present value.  

3 0
4 years ago
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