Lernkarten

Julia Rawyler
Karten 29 Karten
Lernende 1 Lernende
Sprache English
Stufe Universität
Erstellt / Aktualisiert 05.06.2021 / 28.06.2021
Lizenzierung Keine Angabe
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0 Exakte Antworten 14 Text Antworten 15 Multiple Choice Antworten
Fenster schliessen

Once a company has determined the target price, it can determine its target cost by setting a desired profit.

True

False

Fenster schliessen

In a competitive, common-product environment the company must set a target selling price using cost-plus pricing.

True

False

Fenster schliessen

Under cost-plus pricing, the markup percentage is computed by dividing desired ROI per unit by variable cost per unit.

True

False

Fenster schliessen

The labor charge includes the direct labor cost of employees, selling, administrative, and similar overhead costs; and an allowance for a desired profit per hour.

True

False

Fenster schliessen

The charges for any particular job are the sum of the labor charge, the materials charge, and the material loading charge.

True

False

Fenster schliessen

An appropriate transfer price should assist the company in making proper purchasing decisions.

True

False

Fenster schliessen

An advantage of the cost-based transfer price approach is that it can increase a division manager’s control over the division’s performance.

True

False

Fenster schliessen

The market-based transfer price approach provides a fairer allocation of the company’s contribution margin to each division than the cost-based approach.

True

False