User Account

All Pages

What is the minimum acceptable transfer price

Assignment Help Accounting Basics
Reference no: EM133178359

Question - CWB Inc. has two divisions: the vehicle division and the battery division. The vehicle division intends to negotiate with the battery division for an internal transfer price of a customized battery. The regular battery that the battery division normally sells has a variable cost of $12.00. Yet the vehicle division needs to purchase 20,000 customized batteries, which increases the variable cost by $3.45 due to additional processes. In addition, the battery division does not have sufficient idle capacity to fulfill all the demand and would have to sacrifice the production and sale of 3,000 regular batteries to outside buyers. The market price is $28 for the regular battery and $35 for the customized battery. What is the minimum acceptable transfer price of the customized battery for the battery division?

Reference no: EM133178359

Questions Cloud

What is annual amount of cash flow that project generates : The cost of capital of Pasta-Pizza is 10% and salvage value of the project is $0. What is the annual amount of cash flow that the project generates
Global pandemic or natural disaster : What needed changes do you foresee, due to continual advancements in technology and remote operations or unanticipated events such as a global pandemic or natur
What were cwb budgeted production units : The expected capacity variance computed before the period began had been 15000 U. What were CWB's budgeted production units
Improvement of the enrolment experience of students : 1. How to improve the quality of enrolment experience of students. This includes the customer journey stages of discovery and enrolment.
What is the minimum acceptable transfer price : The market price is $28 for the regular battery and $35 for the customized battery. What is the minimum acceptable transfer price of the customized battery
What condition would be considered the first-listed : You will utilize your coding manual and review one of the three scenarios below. If your last name starts with the letter A-F, Scenario 1. If your last name sta
What is the variable overhead efficiency variance : Margin Inc. has the following standards: Direct labor rate $11 per d.l. hour. What is the variable overhead efficiency variance
Contributed to reduction in union membership : Identify the factors that have contributed to the reduction in union membership. Be sure to include the rationale you use in your speaker notes.
Describe the organizational analysis : Describe the Organizational Analysis component of the TNA process.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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