Reference no: EM13987526
1. Explain how the treatment of customer groups as segments can be useful to a firm.
2. What are margin and turnover? Explain how these concepts can improve the evaluation of an investment center.
3. What are the three benefits of ROI? Explain how each can lead to improved profitability.
4. What are two disadvantages of ROI? Explain how each can lead to decreased profitability.
5. What is EVA?
6. What problems do owners face in encouraging goal congruence of managers?
7. What is a transfer price?
8. Explain how transfer prices can impact perfor- mance measures, firmwide profits, and the deci- sion to decentralize decision making.
9. Explain the opportunity cost approach to transfer pricing.
10. If the minimum transfer price of the selling divi- sion is less than the maximum transfer price of the buying division, the intermediate product should be transferred internally. Do you agree or disagree? Explain.
11. If an outside, perfectly competitive market exists for the intermediate product, what should the transfer price be? Why?
12. Discuss the advantages and disadvantages of negotiated transfer prices.
13. Identify three cost-based transfer prices. What are the disadvantages of cost-based transfer prices? When might it be appropriate to use cost-based transfer prices?
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Creating a prompt for an essay on too big to fail
: Creating a prompt for an essay on "too big to fail" concerning a private and public policy issue. Also, I need 10 recourse cited in MLA style along with 2-3 sentences of claims or points from the book and speakers that support the issue on the promp..
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Minimum transfer price for the small motor division
: What is the minimum transfer price for the Small Motor Division? What is the maximum transfer price for the Kitchen Products Division? Is it important that transfers take place internally? If transfers do take place, what should the trans- fer pri..
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Explain why it does or given an example
: If a function f(x) is defined for all real x and has an inverse f-1(x), does it necessarily follow that also g(x) = [f(x)2] has an inverse g-1(x)?
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Compute average operating assets
: 1. Compute average operating assets. 2. Compute the margin and turnover ratios for last year. Compute ROI.
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Treatment of customer groups
: 1. Explain how the treatment of customer groups as segments can be useful to a firm. 2. What are margin and turnover? Explain how these concepts can improve the evaluation of an investment center.
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At what project duration do we achieve the lowest total
: At what project duration do we achieve the lowest total project cost(i.e., direct plus indirect costs)? (a) 16 days (b) 15 days (c) 14 days(d) 13 days
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Estimate the output in each mine after ten years
: Four gold mines in a mountainous region have been in continuous operation for five years. The output is measured in tons, and it has been declining each year in each mine. Estimate the output in each mine after ten years
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Centralized and decentralized decision making
: 1. Discuss the differences between centralized and decentralized decision making. 2. What is decentralization? 3. Explain why firms choose to decentralize.
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Problem regarding the transfer pricing
: The Components Division produces a part that is used by the Goods Division. The cost of manufacturing the part follows:
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