This topic contains a solution. Click here to go to the answer

Author Question: The Machining division makes a component part that the Assembly division needs for a new product. ... (Read 32 times)

danitzaidaly

  • Full Member
  • ***
  • Posts: 132

Question 1

Gooding Custom Design generated $320,000 in operating income on sales revenue of $2,500,000. The company had $3,000,000 in assets on January 1 and $3,250,000 in assets on December 31.

Required:

a.Calculate Gooding's margin.
b.Calculate Gooding's asset turnover.
c.Calculate Gooding's return on investment.


Question 2

The Machining division makes a component part that the Assembly division needs for a new product. The Machining division's variable cost of manufacturing the component is $25 per unit. The component is also available on the open market at a price of $45 per unit. The Assembly division needs 900 units per year, and the Machining division has excess capacity of 1,000 units.

Required:

a.Determine the cost-based transfer price that the Machining division should charge the
Assembly division.
b.Determine the market-based transfer price that the Machining division should charge
the Assembly division.
c.What arguments will the Machining division's manager and the Assembly division's
manager make in an attempt to get the price each wants?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by danitzaidaly on Feb 5, 2023

Tussalpain

  • Full Member
  • ***
  • Posts: 189
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 29% of students answer this correctly




danitzaidaly

  • Member
  • Posts: 132
Reply 2 on: Feb 5, 2023
:D TYSM


dyrone

  • Member
  • Posts: 322
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

Patients who cannot swallow may receive nutrition via a parenteral route—usually, a catheter is inserted through the chest into a large vein going into the heart.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

Did you know?

Essential fatty acids have been shown to be effective against ulcers, asthma, dental cavities, and skin disorders such as acne.

Did you know?

In Eastern Europe and Russia, interferon is administered intranasally in varied doses for the common cold and influenza. It is claimed that this treatment can lower the risk of infection by as much as 60–70%.

Did you know?

Hypertension is a silent killer because it is deadly and has no significant early symptoms. The danger from hypertension is the extra load on the heart, which can lead to hypertensive heart disease and kidney damage. This occurs without any major symptoms until the high blood pressure becomes extreme. Regular blood pressure checks are an important method of catching hypertension before it can kill you.

For a complete list of videos, visit our video library