subject
Business, 30.03.2020 21:22 softball2895

Transfer Pricing Decisions LO22-1, LO22-6Sparta and Associates produces trophies and has two divisions—the green division and the white division. The green division produces the trophy base, which it can sell to outside markets for $150. A trophy base has variable costs per unit of $65 and fixed costs of $100,000, based on monthly production of 2,000 bases. Each trophy base could be sold to outside customers by the green division, as bases are in high demand. The green division has no idle capacity. The white division uses the base in the production of championship trophies. The market price of a championship trophy is $300. The white division can acquire trophy bases from outside suppliers for $160. The manager of the white division is interested in purchasing 1,500 trophy bases from the green division, but she wants to negotiate for a lower transfer price of $135. The current transfer price for a trophy base is the full market price of $150. The fixed costs in producing championship trophies are $57,500, and the variable cost of producing a championship trophy is $75, excluding the cost of the trophy base.

ansver
Answers: 1

Another question on Business

question
Business, 21.06.2019 21:30
Problem 2-18 job-order costing for a service company [lo2-1, lo2-2, lo2-3]speedy auto repairs uses a job-order costing system. the company's direct materials consist of replacement parts installed in customer vehicles, and its direct labor consists of the mechanics' hourly wages. speedy's overhead costs include various items, such as the shop manager's salary, depreciation of equipment, utilities, insurance, and magazine subscriptions and refreshments for the waiting room. the company applies all of its overhead costs to jobs based on direct labor-hours. at the beginning of the year, it made the following estimates: direct labor-hours required to support estimated output 10,000fixed overhead cost $ 90,000variable overhead cost per direct labor-hour $ 1.00 required: 1. compute the predetermined overhead rate.2. during the year, mr. wilkes brought in his vehicle to replace his brakes, spark plugs, and tires. the following information was available with respect to his job: direct materials $ 600direct labor cost $ 180direct labor-hours used 2 compute mr. wilkes' total job cost. 3. if speedy establishes its selling prices using a markup percentage of 30% of its total job cost, then how much would it have charged mr. wilkes?
Answers: 1
question
Business, 22.06.2019 18:10
During the year, the delph company had no beginning or ending inventories and it started, completed, and sold only two jobs—job d-75 and job c-100. it provided the following information related to those two jobs: job d-75: molding fabrication total direct materials cost $ 375,000 $ 325,000 $ 700,000 direct labor cost $ 200,000 $ 160,000 $ 360,000 machine-hours 15,000 5,000 20,000 job c-100: molding fabrication total direct materials cost $ 300,000 $ 250,000 $ 550,000 direct labor cost $ 175,000 $ 225,000 $ 400,000 machine-hours 5,000 25,000 30,000delph had no overapplied or underapplied manufacturing overhead during the year. assume delph uses a plantwide overhead rate based on machine-hours.1-a. compute the predetermined plantwide overhead rate.1-b. compute the total manufacturing costs assigned to job d-70 and job c-200.1-c. if delph establishes bid prices that are 150% of total manufacturing costs, what bid price would it have established for job d-70 and job c-200? 1-d. what is delph's cost of goods sold for the year? assume delph uses departmental overhead rates based on machine-hours.2-a. compute the predetermined departmental overhead rates.2-b. compute the total manufacturing costs assigned to job d-70 and job c-200.2-c. if delph establishes bid prices that are 150% of total manufacturing costs, what bid price would it have established for job d-70 and job c-200? 2-d. what is delph's cost of goods sold for the year?
Answers: 3
question
Business, 23.06.2019 03:00
What is the w-4 form used for? filing taxes with the federal government determining the amount of money an employee has paid out in taxes calculating how much tax should be withheld from a person’s paycheck calculating how much income was paid in the previous year
Answers: 1
question
Business, 23.06.2019 15:30
World systems manufactures an optical switch that it uses in its final product. world systems incurred the following manufacturing costs when it produced 74 comma 000 units last​ year: ​(click the icon to view the manufacturing​ costs.) another company has offered to sell world systems the switch for $ 13.50 per unit. the world systems prepared an outsourcing decision analysis to show the cost per unit of making the switches versus the cost per unit of buying​ (outsourcing) the switches. ​(click the icon to view the outsourcing decision​ analysis.) world systems needs 86 comma 000 optical switches next year​ (assume same relevant​ range). by outsourcing​ them, world systems can use its idle facilities to manufacture another product that will contribute $ 140 comma 000 to operating​ income, but none of the fixed costs will be avoidable. should world systems make or buy the​ switches? show your analysis.
Answers: 2
You know the right answer?
Transfer Pricing Decisions LO22-1, LO22-6Sparta and Associates produces trophies and has two divisio...
Questions
question
Mathematics, 23.08.2021 14:40
question
Mathematics, 23.08.2021 14:50
question
Mathematics, 23.08.2021 14:50
question
Mathematics, 23.08.2021 14:50
question
English, 23.08.2021 14:50
question
Mathematics, 23.08.2021 14:50
question
Mathematics, 23.08.2021 14:50