TRUE OR FALSE: 1,The final transfer price will always be set by corporate management, not by...
TRUE OR FALSE:
1,The final transfer price will always be set by corporate management, not by the division managers.
2,In the profit formula, P is equivalent to net operating income in a contribution format statement.
3, Under either of the sales methods of accounting for by-products, the expected sales value of any unsold by-products are included in inventory
4,Joint processing costs are sometimes allocated based on physical measures.
Homework Answers
1. False, The Final Transfer Price will always be set by division managers.
2. True, P is equivalent to net operating income in a contribution format statement.
3. False, Under Sales method of accounting for by products, the Expected sales Value of any unsold by- products are not included in inventory.
4. True, Joint processing costs are sometimes allocated based on physical measures.
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TRUE OR FALSE:
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