Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Multinational Corporation XY Paper & packaging division Engineering division Paper & board Packaging Electrical engineering Mechanical engineering U.K. France Electronics Telephones Compressors Pumps & Valves

image text in transcribed
image text in transcribed
Multinational Corporation XY Paper & packaging division Engineering division Paper & board Packaging Electrical engineering Mechanical engineering U.K. France Electronics Telephones Compressors Pumps & Valves Germany France U.K. U.S. Australia U.K. U.K. U.K. U.S. Canada Figure 9.2 Organization Structure 14. 13. Based on the organizational chart provided in Figure 9.2. create a possible seg mentation of the company by LOB segments. Create a possible segmentation or the company by geographical segments. CurAll Corp. sells bandages of various types to both medical institutions and to retail stores. For internal reporting purposes, the company is divided into two profit centers: retail sales and medical institution sales. The medical institution division makes 40 percent of its sales to the retail division, which uses the larger bandages in prepackaged first-aid kits. The retail division makes 20 percent of its sales to the medical institution division. Assume that both of the profit centers are consistent with the SIC. According to the dual-yardstick proposal, how could the LOB segments be divided for external reporting purposes? 15. CurAll Corp (see exercise 13) has operations in the United States, Canada, and Mexico. The U.S. operations are concerned mostly with corporate affairs, although there is a production plant in Tennessee. Mexico houses two large pro- duction plants that handle the majority of the retail product manufacturing and a portion of the medical institution production. Canada has a small plant dedi- cated to retail products. In addition, each country has its own marketing division, and Mexico sells the majority of its products to the United States and Canada marketing divisions for sale in the United States and Canada. Divide the com- pany into geographical segments according to the dual-yardstick model. Multinational Corporation XY Paper & packaging division Engineering division Paper & board Packaging Electrical engineering Mechanical engineering U.K. France Electronics Telephones Compressors Pumps & Valves Germany France U.K. U.S. Australia U.K. U.K. U.K. U.S. Canada Figure 9.2 Organization Structure 14. 13. Based on the organizational chart provided in Figure 9.2. create a possible seg mentation of the company by LOB segments. Create a possible segmentation or the company by geographical segments. CurAll Corp. sells bandages of various types to both medical institutions and to retail stores. For internal reporting purposes, the company is divided into two profit centers: retail sales and medical institution sales. The medical institution division makes 40 percent of its sales to the retail division, which uses the larger bandages in prepackaged first-aid kits. The retail division makes 20 percent of its sales to the medical institution division. Assume that both of the profit centers are consistent with the SIC. According to the dual-yardstick proposal, how could the LOB segments be divided for external reporting purposes? 15. CurAll Corp (see exercise 13) has operations in the United States, Canada, and Mexico. The U.S. operations are concerned mostly with corporate affairs, although there is a production plant in Tennessee. Mexico houses two large pro- duction plants that handle the majority of the retail product manufacturing and a portion of the medical institution production. Canada has a small plant dedi- cated to retail products. In addition, each country has its own marketing division, and Mexico sells the majority of its products to the United States and Canada marketing divisions for sale in the United States and Canada. Divide the com- pany into geographical segments according to the dual-yardstick model

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions