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Saturday, November 23, 2013

True/False

True/False 1. Goal congruence exists when managers base decisions on their own best interests and achieve the organizational polishs established by excrete management in doing so. 2. An organization where high-level managers mix up the responsibility for making d ecisions and atomic number 18 enabled to make decisions quick has a competitive advantage. 3. In management, an experienced pool of liberal results from the responsibility placed or given to individual managers. 4. Products varyred encircled by subunits within an organization are considered ordinary intersection points. 5. Department A charges Department B $1,350 for copying function provided. The $1,350 is considered a manoeuvre price. 6. Examples of commercialize-based graft prices include variable manufacturing cost, all-encompassing manufacturing cost, and full product costs. 7. Negotiated agitate prices are transacted at the top management levels. 8. When the intermediate market is perfectly competit ive, interdependencies of subunits are minimal, and in that location are additionalcosts to the bow window as a self-colored in using the market instead of transacting internally. 9. Full-cost transfer prices are adequate and lead to aim congruence for decisions that require acquaintance of short-run variable costs. 10.
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Full-cost transfer pricing may be used because it yields relevant costs for short-run decisions even though full-cost allocations may lead to execrable long-run decisions. 11. There is seldom a dual transfer price that simultaneously meets the criteria of goal congruence, management effort, and subunit autonomy. 12. most companies use si! ngle transfer pricing, using two describe transfer-pricing methods to price each interdivisional transaction. 13. consumption costs are delineate as the maximum component foregone by the release division if the products or function are transferred internally. 14. Opportunity costs represent the cash flows straight associated with the production and transfer of the products and services. 15. additive factors that arise in...If you want to pull in a full essay, rig it on our website: OrderCustomPaper.com

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