In an organization's transfer pricing system the selling division and the purchasing division each record a different price for the same transaction.This is known as a:
Answer(s): A
TTR Ltd plans to purchase a new plant for $1,000m on the 1st of January 20X6. The annual sales expected from the production of this plant is S400m per year. The plant has an expected life of five years. The financialaccountant has computed the NPV of the project at $61.42m considering a discount rate of 10%.The marketing director wants to know the percentage drop in revenue that the sales team can afford before the project becomes unviable. Which of the following indicates the percentage required by the marketingdirector?
A risk averse decision maker will:
A company is classifying its quality costs to prepare a quality cost report. Which of the following are conformance costs?Select ALL that apply.
Answer(s): C,D
To which technique for dealing with risk and uncertainty do ALL of the following statements apply?· It requires that only one factor is considered at a time.· It identifies areas which are crucial to a project, which can then be monitored if the project is chosen.· It does not provide an indication of the likelihood of any change in the factors.· Following the calculation, it requires the exercising of judgement to decide whether to accept or reject a project.
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question 205 answer is b
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