Homework Answers
| variable cost per barrel | 8 | ||||
| Add: Markup percentage @70% on Variable cost | 5.6 | ||||
| Transfer price from Extraction division | 13.6 | ||||
| Answer is D. $ 13.60 | |||||
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16.
Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Luboil Oil....
3. Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Luboil Oil....
3.
Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Luboil Oil. Each division's costs are provided below: Extraction: Variable costs per barrel of oil $16 Fixed costs per barrel of oil $9 Refining: Variable costs per barrel of oil $26 Fixed costs per barrel of oil $38 The Refining Division has been operating at a capacity of 40,900 barrels a day and usually purchases 25,600 barrels of oil from the Extraction Division and 15,400 barrels...
elia Corporation has two divisions, Refining and Extraction. The company's primary product is tubol OL. Each...
elia Corporation has two divisions, Refining and Extraction. The company's primary product is tubol OL. Each division's costs are provided below. Extraction Refining Variable costs per barrel of oil Fred costs per barrel of oil Variable costs per barrel of Fixed costs per barrel of o 55 $28 $32 The Refining Division has been operating at a capacity of 40.000 barrels a day and usually purchases 25.000 barrels of oil from the Extraction Division and 15.000 barrels from other suppliers...
Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Lubol Oll Each...
Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Lubol Oll Each division's costs are provided below. Extraction Refining Variable costs per barrel of Fored costs per barrel of oil Variable costs per barrel of oil Fixed costs per barrel of oil 57 $ 5 $28 $32 The Refining Division has been operating at a capacity of 40.000 barrels a day and usually purchases 25.000 barrels of from the Extraction Division and 15.000 barrels from other...
The informal management control system includes the shared values, loyalties, and mutual commitments among members of...
The informal management control system includes the shared values, loyalties, and mutual commitments among members of the organization, the company's culture, and the unwritten norms about acceptable behavior for managers and other employees. Briefly explain the formal and informal management systems and enlist their components. Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Luboil Oil. Each division's costs are provided below: Extraction Variable costs per barrel of oil $7 Fixed costs per barrel of oil...
Timekeeper Corporation has two divisions, Distribution and Manufacturing. The company's primary product is high-end watches. Each...
Timekeeper Corporation has two divisions, Distribution and Manufacturing. The company's primary product is high-end watches. Each division's costs are provided below: Manufacturing: Variable costs per unit $1.36 Fixed costs per unit $5.77 Distribution: Variable costs per unit $1.30 Fixed costs per unit $0.50 The Distribution Division has been operating at a capacity of 4,009,000 units a week and usually purchases 2,004,500 units from the Manufacturing Division and 2,004,500 units from other suppliers at $13.00 per unit. Assume 110,000 units are transferred from the Manufacturing Division to...
McFarlane Company has two divisions, Division C and Division D. Division C manufactures Part C82 and...
McFarlane Company has two divisions, Division C and Division D.
Division C manufactures Part C82 and sells it to Division D, and
also sells the same part to the outside market for $73 per unit.
Division C has capacity to make
1,200,000 units of C82 per year. The division's fixed costs are
$ 6,500,000 per year and its variable costs per unit are as
follows:
Part C82 is an essential component for Division D's only
product; the division sells 550,000...
Kelowna Company has two divisions, A and B. Division A manufactures 12,000 units of product per...
Kelowna Company has two divisions, A and B. Division A manufactures 12,000 units of product per month. The cost per unit is calculated as follows. Variable costs $ 10 Fixed costs 20 Total cost $ 30 Division B uses the product created by Division A. No outside market for Division A’s product exists. The fixed costs incurred by Division A are allocated headquarters-level facility-sustaining costs. The manager of Division A suggests that the product be transferred to Division B at...
Wollan Corporation has two operating divisions-an East Division and a West Division. The company's Logistics Department...
Wollan Corporation has two operating divisions-an East Division and a West Division. The company's Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $44 per shipment. The Logistics Department's fixed costs are budgeted at $391,700 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand. Percentage of Peak- period Capacity Required 45% 55% Budgeted Shipments 1,730 5,630 East Division West Division At the end of the year, actual...
Wollan Corporation has two operating divisions—an East Division and a West Division. The company's Logistics Department...
Wollan Corporation has two operating divisions—an East Division and a West Division. The company's Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $26 per shipment. The Logistics Department's fixed costs are budgeted at $361,600 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand. Percentage of Peak-period Capacity Required Budgeted Shipments East Division 40% 2,250 West Division 60% 5,040 At the end of the year, actual Logistics...
Gibson Company has two divisions, A and B. Division A manufactures 6,000 units of product per...
Gibson Company has two divisions, A and B. Division A manufactures 6,000 units of product per month. The cost per unit is calculated as follows. Variable costs Fixed costs Total cost $ 6.30 20.60 $26.90 Division B uses the product created by Division A. No outside market for Division A's product exists. The fixed costs incurred by Division A are allocated headquarters-level facility-sustaining costs. The manager of Division A suggests that the product be transferred to Division B at a...
3.
Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Luboil Oil. Each division's costs are provided below: Extraction: Variable costs per barrel of oil $16 Fixed costs per barrel of oil $9 Refining: Variable costs per barrel of oil $26 Fixed costs per barrel of oil $38 The Refining Division has been operating at a capacity of 40,900 barrels a day and usually purchases 25,600 barrels of oil from the Extraction Division and 15,400 barrels...
elia Corporation has two divisions, Refining and Extraction. The company's primary product is tubol OL. Each division's costs are provided below. Extraction Refining Variable costs per barrel of oil Fred costs per barrel of oil Variable costs per barrel of Fixed costs per barrel of o 55 $28 $32 The Refining Division has been operating at a capacity of 40.000 barrels a day and usually purchases 25.000 barrels of oil from the Extraction Division and 15.000 barrels from other suppliers...
Axelia Corporation has two divisions, Refining and Extraction. The company's primary product is Lubol Oll Each division's costs are provided below. Extraction Refining Variable costs per barrel of Fored costs per barrel of oil Variable costs per barrel of oil Fixed costs per barrel of oil 57 $ 5 $28 $32 The Refining Division has been operating at a capacity of 40.000 barrels a day and usually purchases 25.000 barrels of from the Extraction Division and 15.000 barrels from other...
McFarlane Company has two divisions, Division C and Division D.
Division C manufactures Part C82 and sells it to Division D, and
also sells the same part to the outside market for $73 per unit.
Division C has capacity to make
1,200,000 units of C82 per year. The division's fixed costs are
$ 6,500,000 per year and its variable costs per unit are as
follows:
Part C82 is an essential component for Division D's only
product; the division sells 550,000...
Wollan Corporation has two operating divisions-an East Division and a West Division. The company's Logistics Department services both divisions. The variable costs of the Logistics Department are budgeted at $44 per shipment. The Logistics Department's fixed costs are budgeted at $391,700 for the year. The fixed costs of the Logistics Department are determined based on peak-period demand. Percentage of Peak- period Capacity Required 45% 55% Budgeted Shipments 1,730 5,630 East Division West Division At the end of the year, actual...
Gibson Company has two divisions, A and B. Division A manufactures 6,000 units of product per month. The cost per unit is calculated as follows. Variable costs Fixed costs Total cost $ 6.30 20.60 $26.90 Division B uses the product created by Division A. No outside market for Division A's product exists. The fixed costs incurred by Division A are allocated headquarters-level facility-sustaining costs. The manager of Division A suggests that the product be transferred to Division B at a...
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