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Category > Business & Finance Posted 20 Jun 2017 My Price 8.00

(1) A segment of Mega Inc., manufactures and sells blankets.

(1) A segment of Mega Inc., manufactures and sells blankets. The various models of blankets are produced in a single factory using stable technology. They are sold by the sales department, also located in the factory. The segment is most probably accounted for as a(n)

   

A- cost center.
   

B - revenue center.
   

C - profit center.
   

D - investment center.
   

E - none of these.

(2) Division A produces a component and wants to sell it to Division B. The transfer price is

   

A - venue to Division 'A' and a cost to Division B.
   

B - revenue to Division 'B' and a cost to Division A.
   

C - revenue to Division 'A' and no effect on Division B.
   

D - a cost to Division 'B' and no effect on Division A.

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Homework Helper
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Status NEW Posted 20 Jun 2017 06:06 AM My Price 8.00

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