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Answer:
Option C. $0.11
Option D. $0.95
Explanation:
As we know that the Transfer Price is set at either selling price for an outside market or variable cost plus opportunity cost if the product sold is to internal market present within the organization (Inter group or inter division sales).
However, the division can still charge upper limit price to the division which is $1 market price of the product.
Upper limit = $1
As it is given that the selling of the additional units will be among divisions which means its inter division market. Hence the lower limit will be used here.
Lower Limit = Variable cost + opportunity cost
Here
Variable cost is $10 cents
And
Opportunity cost will be zero here as the division will be using its excess capacity to sell to the other division, so there is no opportunity cost.
So, by putting values, we have:
Lower Limit = $0.1 - $0 = $0.1
Upper limit = $1
Thus the transfer price set for each bell can be between $1 and $0.1. So the $0.11 and $0.95 falls between these range and both are correct options here.
Answer:
a. $21,725.65
b. $19,385
c. 27,421.32
Explanation:
Savings = 125,000
Annuity Formula :
[ 
( 
) ] = 
( 
)
Solving the equation we get,
A = $21,725.65
Answer:
Holder in due course
Explanation:
A holder in due course arise when someone accepted the negotiable instrument for exchange in the value without any kind of reason. In this, there is a right for claim the value of an instrument that oppose to the orginator and the intermediate holders
So as per the given situation, Lary is holder in due case as he is holding the check in the good faith also he is not aware of the last theft
Answer:
4%
Explanation:
If the real gross domestic product for the year grew by 2%
The inflation rate also grew by 2%
Then nominal GDP rate can be calculated as follows
= Real GDP + inflation rate
= 2% + 2%
= 4%
Hence the nominal gross domestic product grew by 4%
