9. Division-A makes a part that it sells to customers outside of the company. Data concerning this part appear below:
Selling price to outside customers ———$75
Variable cost per unit $50
Total fixed costs —–$400,000
Capacity in units—————————— 25,000
Division-B of the same company would like to use the part manufactured by Division-A in one of its products. Division-S currently purchases a similar part made by an outside company for $70 per unit and would substitute the part made by Division-A. Division-B requires 5,000 units of the part each period. Division-A can already sell all of the units it can produce on the outside market. What should be the lowest acceptable transfer price from the perspective of Division-A?
5. The Wall-shire Company has three divisions-Northern, Western, and Southern. The divisions have the following
revenues and expenses:
Northernn Western Southern
Traceable fixed expenses
Allocated common comorate expenses 92.000 85.000 135.000
Net operating income (loss) $(32.000) $80.000 $85.000
Management of Kosco is considering the elimination of the Northern Division. If the Northern Division were eliminated, its traceable fixed expenses could be avoided. The total common corporate expenses would be unaffected. Given these data, what is your decision, eliminating or keeping it and why? Justify your decision, showing your calculation, and overall company’s net operating income or loss, before and after eliminating Northern Division.
I. Water-Pacific Company sells a single product for $39.50 per unit. If variable expenses are 64.0% of sales and fixed expenses total $13,500, the break-even point in quantity and dollar($) will be:
2. Best Client Company has sales of 1,300 units at $60 a unit. Variable expenses are 45% of the selling price and total fixed expenses are $37,180. If Cartel Company expects next year’s total sales could increase 14%, they want to know how this change affects their profit. Calculate DOL and then, using DOL, calculate next year’s net income in dollar.
3. At the end of the year, actual manufacturing overhead costs were $120,000 and applied manufacturing overhead costs were $160,175. Ifthe denominator activity for the year was 20,000 machine-hours, and if21,500 standard machine hours were allowed for the year’s production, Calculate the predetermined overhead rate per machine-hour.
4. Central Company has two product lines, J and K. During June, the company’s net operating income was $25,000, and the common fixed expenses were $37,000. The contribution margin ratio for J was 30%, its sales were $200,000, and its segment margin was $21,000. If the contribution margin for K was $80,000, Calculate the segment margin for K.
We value our customers and so we ensure that what we do is 100% original..
With us you are guaranteed of quality work done by our qualified experts.Your information and everything that you do with us is kept completely confidential.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.Read more
The Product ordered is guaranteed to be original. Orders are checked by the most advanced anti-plagiarism software in the market to assure that the Product is 100% original. The Company has a zero tolerance policy for plagiarism.Read more
The Free Revision policy is a courtesy service that the Company provides to help ensure Customer’s total satisfaction with the completed Order. To receive free revision the Company requires that the Customer provide the request within fourteen (14) days from the first completion date and within a period of thirty (30) days for dissertations.Read more
The Company is committed to protect the privacy of the Customer and it will never resell or share any of Customer’s personal information, including credit card data, with any third party. All the online transactions are processed through the secure and reliable online payment systems.Read more
By placing an order with us, you agree to the service we provide. We will endear to do all that it takes to deliver a comprehensive paper as per your requirements. We also count on your cooperation to ensure that we deliver on this mandate.Read more