Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

QUESTION 1 1 points Selected data from Division of Green Company are as follows: Sales 5620,000 Average investment $ 198,400 Operating income $ 99,200 Minimum

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
QUESTION 1 1 points Selected data from Division of Green Company are as follows: Sales 5620,000 Average investment $ 198,400 Operating income $ 99,200 Minimum rate of return 10 Division Asset turnover Throunded to two decimal places) 5.00 50.00 3.13 16.00 016 QUESTION 2 1 points Consider the following data for three divisions of a company, XY, and 2 Divisional x Sales $ 1,468.000 $ 864,000 $4.605,000 Operating income 219.000 181400 233,700 Investment 560.500 947.300 2.307,300 The asset over for Division is trounded) 1.46 116 2.62 1.99 3:46 QUESTION 4 1 pour Selected data from Division of Green Company are as follows 5 5671.000 Average investment 3335.500 Operating income $77.165 Minimum rate of return 20 Division A's return on investment (RO . 100% 230 11.5W 46 QUESTIONS 1 points Selected data from an Aol Green Company are as follows Sales 5 295.680 Average investment 177,400 Operating income 323,062 Minimum rate of 10 Don Areturn on investment 50 300 13.09 . QUESTION 6 1 point Selected data from Chain Division's accounting records revealed the following Sales 3601260 Averavestment 24.900 Net operating income 42,400 Minimum rate of return (divisional cost of capital 1) Chering Don's return on investment 16.5 94 0247 0 1 72 QUESTION 1 points Consider the following data for three divisions of a company, X, Y, and 2 Divisional X 2 Sales 1.215.000 5971.000 54,433.000 Operating income 102,100 150.200 156,300 Westment ins 00500 589.300 2.334.700 The return on sales(ROS) for Division 1219 15.5 255 HA 1 points QUESTIONS Selected data from Chening Division accounting records revealed the follow Sales 347,610 Average investment 3215.100 it operating income $42.900 Minimum rate of original cost of cap) 19 Cherng Dion's return on OSIR 1 19.95 29.11 OS ON QUESTIONS 1 points Consider the following data for three dion of a company XY, and Divisional: Sales 51.91.000 90000 5473.000 Operating.com 21000 595 26,900 Investment in 515.00 22.00 22.00 The return on sale ROS for Division 15.24 QUESTION 10 1 points A company established a branch to sell automobile seat covers. The company purchases these covers and stores them in a warehouse. The cours are the shipped from the warehouse to both the home office and the new branch FOB (Free On Board destination. Home office management is responsible for setting the transfer price of the covers charged to the branch. Per-unit costs of the covers are 335.00 purchase price $250 shipping cost to warehouse $5.00 tanding cost, including allocated administrative overhead 4.50 shipping cost te branch paid by home office According to the general transfer pricing formula given in the test, the minimum transfer price that home office should change the branch $39.50 $45.00 137.50 $47.00 $42.00 QUESTION 11 Parkside inclus three divisions Entertainment, Plastics and Video Card), each of which is considered an investment center for performance evaluation purposes. The Entertainment Division manufactures video arcade equipment using products produced by the other two divisions, as follows 1. The Entertainment Division parchases plastic components from the Plastics Division that are considered unique tie, they are made exclusively for the Entertainment Division. In addition, the Plastics Division makes less complex plastic components that it sells externally, to other producers 2. The Entertainment Division purchases, for each unit it produces a video card from Parkside's Video Card Division, which also sells this video card externally to other producers). The per unit manufacturing costs associated with each of the above two items, as incurred by the Plast Components Division and the Video Card Division respectively, are Plastic Components Video Cards Direct material $ 1.25 $ 240 Direct labor 2.35 3.00 Variable overhead 1.00 1.50 Fixed overhead 0.40 2.25 Total cost 500 9.15 Assume that the Entertainment Division is able to purchase a large quantity of video cards from an outside source at 18.70/unit. The video Cards Division, vingeren capacity, agrees to lower its transfer price to 58.70/unit. This action would likely Cause mediocre behavior in the Video Cards Division as lost opportunity costs increase Optimize the profit goal of the Entertainment Division while subverting the profit goals of Parkside Inc Optimize the overall profit goals of Parkside Inc. Subvert the profit goal of the Video Cards Division while optimizing the profit goals of the Entertainment Division, Bow evaluation of both divisions on the same basis 5

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

Connect For Financial Accounting Information For Decisions

Authors: Author

10th Edition

1260386937, 9781260386936

More Books

Students also viewed these Accounting questions

Question

What is the forecasted exchange rate for the year? LO10

Answered: 1 week ago