Cost Accounting, Student Value Edition Plus MyAccountingLab with Pearson eText -- Access Card Package (15th Edition)
Cost Accounting, Student Value Edition Plus MyAccountingLab with Pearson eText -- Access Card Package (15th Edition)
15th Edition
ISBN: 9780133781106
Author: Charles T. Horngren, Srikant M. Datar, Madhav V. Rajan
Publisher: PEARSON
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Chapter 22, Problem 22.14Q

“Under the general guideline for transfer pricing, the minimum transfer price will vary depending on whether the supplying division has unused capacity or not.” Do you agree? Explain.

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Nexus Manufacturing uses a single raw material in its production process. The standard price for a unit of material is $1.95. During the month, the company purchased and used 680 units of this material at a price of $2.15 per unit. The standard quantity required per finished product is 2 units, and during the month, the company produced 320 finished units. How much was the material quantity variance? A. $45 favorable B. $50 unfavorable C. $63 favorable D. $78 unfavorable. Help
Please explain the correct approach for solving this general accounting question.
Bianca Industries has an accounts receivable turnover of 12 and annual credit sales of $3,600,000. What is the average collection period? A) 32.75 days B) 30.42 days C) 28.33 days D) 35.17 days
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