Discuss the company comprises two primary divisions

Assignment Help Accounting Basics
Reference no: EM131773031

Manny's Manufacturing Case Study

Manny's Manufacturing specializes in manufacturing customer-made office desks. The company comprises two primary divisions, Machining and Assembly. Machining produces the unfinished wood components of the desk, while Assembly assembles, paints and polishes the final product. A market exists for the unfinished wood components and for the final product. Assume that Machining's capacity for this product is 1,000 units per month and sales to the intermediate market are currently 800 units per month. Both selling prices will maintain indefinitely (i.e., $200 for the intermediate product and $300 for the final product) - external prices will not be lowered even if excess capacity exists. Each division has been designated a profit center. The following data are available to each division:

See Manny's Attachment 1

Should the 200 remaining units in Machining be transferred to Assembly? ___________ At what transfer price? Why? If Assembly wants 300 units. Would the suggested price from #1 be different? If so, how would it change?

Reference no: EM131773031

Questions Cloud

Perform a multiple linear regression analysis : The stream reaeration coefficient (r) is a necessary parameter for computing the oxygen deficit sag curve for a stream reach.
Complete a pest analysis on the external factors : Complete a PEST analysis on the external factors that affect the company's readiness to compete. Include supporting rationale and research as needed.
What is the current price of van buren stock : Van Buren's dividend is expected to grow at a constant rate of 5%a year, and its beta is 0.9. What is the current price of Van Buren's stock
Discuss the importance of the three prime objectives : Discuss the importance of the three prime objectives (triple constraints) of project management. Which one of the three objectives was not met.
Discuss the company comprises two primary divisions : If Assembly wants 300 units. Would the suggested price from #1 be different, If so, how would it change
Potential accuracy of the relationship of variables : A data set of 32 stream sections includes the following variables: X1 is the depth of flow; X2 is the roughness of the channel bottom.
Prepare journal entries related to stock-option plan : Question - Issuance, Exercise, and Termination of Stock Options, Prepare the necessary journal entries related to the stock-option plan for the years 2009
Write a paper that outlines your processes of investigation : Write a 3-4 pages paper that outlines your processes throughout the investigation and your findings.
Identify and discuss four benefits of project management : Identify and discuss four benefits of project management. Which benefit do you find most important - why? How organizations can avoid the pitfalls.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Verdugo corporation is considering three long-term capital

verdugo corporation is considering three long-term capital investment proposals. relevant data on each project are as

  Sketchy information on firm pricing practices

Constanza has asked you to complete an analysis of profit margins earned on a number of recent projects. Unfortunately, your predecessor on this project was abruptly transferred, leaving you with only sketchy information on the firm's pricing prac..

  Many businesses analyze present value extensively when

bergon corporations management took the following actions which went into effect on march 2 2011. each action involved

  What would the lessee record as annual depreciation on the

refer to the following lease amortization schedule. the 10 payments are made annually starting with the inception of

  How has public criticism of the public accounting

1. while congress believed that sarbanes-oxley would improve corporate corruption and prevent future corporate scandals

  What are some advantages to preparing budgets what are some

what are some advantages to preparing budgets? what are some things thatmanagement might want to take into

  What were the total assets at the end of the financial year

Does Woolworths Ltd use historical cost accounting or some other basis? What were the total assets at the end of the financial year? State the accounting equation for Woolworths Ltd in dollar figures at balance date for the end and beginning of the ..

  Expense in the statement of activities

The infrastructure has a basis of $400 million and would be depreciated over a 40 year life, if depreciation were charged. The amount that would be shown as expense in the Statement of Activities would be:

  Consider a project to supply 100 million postage stamps per

consider a project to supply 100 million postage stamps per year to canada post for the next 5 years. you have an idle

  Describe the primary pros and cons of imposing lower tax

reforming the u.s. tax code to eliminate tax credits and loopholes has been a frequent topic of discussion. some

  Percentages of liquid and gas

In a real turbine, the entropy of the steam will increase somewhat. How will this affect the percentages of liquid and gas at point 4 in the cycle? How will the efficiency be affected?

  Types of consulting services-audit firms

List three types of consulting services that audit firms have provided to their audit clients in recent years. For each item, indicate the specific threats, if any, that the provision of the given service can pose for an audit firm's independence.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd