ACCT 434

ACCT 434 WEEK 5 QUIZ – DEVRY

ACCT 434 WEEK 5 QUIZ – DEVRY

1.(TCO 7) Major influences of competitors, costs, and customers on pricing decisions are factors of (Points : 5)

2. (TCO 7) The first step in implementing target pricing and target costing is (Points : 5)

3. (TCO 7) The markup percentage is usually higher if the cost base used is (Points : 5)

4. (TCO 7) Life-cycle budgeting is particularly important when (Points : 5)

5. (TCO 7) Each month, Haddon Company has $275,000 total manufacturing costs (20% fixed) and $125,000 distribution and marketing costs (36% fixed). Haddon’s monthly sales are $500,000. The markup percentage on variable costs to arrive at the existing (target) selling price is (Points : 5)

6. (TCO 8) The benefits of a decentralized organization are greater when a company (Points : 5)

7. (TCO 8) Transfer prices should be judged by whether they promote (Points : 5)

8. (TCO 8) A benefit of using a market-based transfer price is the (Points : 5)

9. (TCO 8) The range over which two divisions will negotiate a transfer price is (Points : 5)

10. (TCO 8) Division A sells soybean paste internally to Division B, which, in turn, produces soybean burgers that sell for $5 per pound. Division A incurs costs of ACCT 434 Week 5 Quiz $0.75 per pound and Division B incurs an additional cost of $2.50 per pound. What get more info is Division A’s operating income per pound, assuming the transfer click here price of the soybean paste is set at $1.25 per pound? (Points : 5)

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