(Answered) Mountain industries operates a manufacturing division and

Accounting

Mountain Industries operates a Manufacturing Division and an Assembly Division. Both divisions are evaluated as profit centers. Assembly buys components from Manufacturing and assembles them for sale. Manufacturing sells many components to third parties in addition to Assembly. Selected data from the two operations follow:

2041_269-B-M-A-P-P-S (469).png

For Manufacturing, this is the price to third parties. For Assembly, this does not include the transfer price paid to Manufacturing.

Required :
a. Current production levels in Manufacturing are 100,000 units. Assembly requests an additional 20,000 units to produce a special order. What transfer price would you recommend? Why?
b. Suppose Manufacturing is operating at full capacity. What transfer price would you recommend? Why?
c. Suppose Manufacturing is operating at 190,000 units. What transfer price would you recommend?Why?

View complete question

Managerial Accounting, Accounting

Category:- Managerial Accounting
Reference No.:- M91545244
Price:- $12

Verified Expert

Priced at $24 Now at $12, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Managerial Accounting

Instructions for preparation of assignment1 you are to

Instructions for Preparation of Assignment: 1. You are to choose one management accounting topic from the list below for this assignment, and register your chosen topic with your lecturer in class or via email before com ...

Task descriptionyou have gained a position as vacation

Task Description You have gained a position as vacation student at the accounting firm T&K Solutions. In your capacity of vacation student you have been asked by the two partners of T&K Solutions to assist them with two ...

Managerial accounting assignment -instructions for

Managerial Accounting Assignment - Instructions for Preparation of Assignment: 1. You are to choose one management accounting topic from the list below for this assignment, and register your chosen topic with your lectur ...

Corporate accounting assignment -objectives -the

Corporate Accounting Assignment - Objectives - The educational objective of this task is to develop student capabilities to read, interpret and analyse financial statements; to apply international accounting standards; t ...

Management accounting with a strategic perspective

MANAGEMENT ACCOUNTING with a STRATEGIC PERSPECTIVE Assignment - This Assignment is designed to give students an opportunity to: 1. Integrate traditional, contemporary and advanced theoretical and technical management acc ...

Corporate accounting assignment -question 1 - dr kelvin

Corporate Accounting Assignment - Question 1 - Dr. Kelvin opened a dental clinic on August 1, 2018. The business transactions for August are shown below: August 1 Dr. Kelvin invested $280,000 cash in the business in exch ...

Management accounting assessment - research amp analysis

Management Accounting Assessment - Research & Analysis Teamwork Assessment Description - Learning Outcome - Analyse the issues or problems (in a given scenario) using management accounting techniques and tools, and formu ...

You need to prepare a paper about lacroix companycompany

You need to prepare a paper about Lacroix company Company: Lacroix Home Work: History & background Page: 1 and half

Assume you have been hired as a consultant to prepare a

Assume you have been hired as a consultant to prepare a balanced scorecard that will be presented to top management. You will choose a company to research and will provide a professional report that will include the foll ...

Assignment - essendon electronics regal or monarchessendon

Assignment - Essendon Electronics: Regal or Monarch? Essendon Electronics, a division of Elgin Ltd, manufactures a diverse range of electrical products. Its range includes two LCD screen television models: the Monarch, w ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Managerial Accounting Expert