Answer:
$120 per unit
Explanation:
The computation of minimum acceptable transfer price is shown below:-
If the division of the transferor does not have spare capacity, the minimum transfer price is equal to variable cost per unit and the contribution margin per unit
Minimum transfer price = Variable cost per unit + (Selling price to outside customers - Variable cost per unit)
= $72 + ($120 - $72)
= $72 + $48
= $120 per unit
Therefore for computing the minimum transfer price we simply applied the above formula.
Answer:
The answer is: A) breached
Explanation:
Evelyn breached her contract with Hill & Dale because she failed to perform her duties. In order for the contract to end, both parties must fulfill their duties or both parties must agree to cancel the contract. Any party involved in a contract can sue for damages, so Hill & Dale are entitled to sue Evelyn for compensatory damages.
Answer:
The correct answer is option c.
Explanation:
Fiat money refers to the currency which is not backed by any physical assets such as gold or silver. Its value is derived from its demand and supply rather than through the value of commodity it is backed by.
Since the currency is not backed by gold, it will not be affected by the discovery of gold. Had it been backed by gold, the money supply would have increased.
Purchasing treasury securities, decreasing the required reserve ratio, decreasing the discount rate will all increase the reserves with the commercial This will lead to an increase in money supply through increased lending.
Since water is an abundant commodity, linking the value of money to water will increase money supply.
Answer:
Instructions are below.
Explanation:
Giving the following information:
Sales= 8,000 units
Total cost= $612,500.
Selling price= $100.
Selling costs:
commissions equal to 5% of the sales
other selling expense of $45,000.
Administrative expense totaled $47,500
<u>Income statement:</u>
Sales revenue= (8,000*100)= 800,000 100%
COGS= (612,500) 76.56%
Gross profit= 187,500
commissions= 0.05*800,000= (40,000) 5%
other selling expense= (45,000) 5.63%
Administrative expense= (47,500) 5.94%
Net operating income= 55,000 6.87%