question archive In a company operational activities are performed to fabricate products or to provide services
In a company operational activities are performed to fabricate products or to provide services
Subject:AccountingPrice: Bought3
In a company operational activities are performed to fabricate products or to provide services. Within a company individual departments provide services not only for the main business but frequently also for other departments. Those services can be measured by their quantity, however due to lack of market prices they cannot be rated by values. The following table describes the services within the different department or for the main business as well as the primary costs of a company. recipient overall primary ABCD main business performance A3 120 B 1 21 C2 LO DIOL 1 (n) Perform an internal cost allocation and determine the internal transfer prices. Describe your procedure. (b) Perform an input-output analysis without considering the primary costs. How much would each department have to produce in total to have y = (5,2,5,4) available for the main business? Describe your procedure. 1 2 6 1 0 2 costs 14 10 24 6 5 10
