By: damien11
should the opportunity cost not be only 10 since the net lost contribution would only be 4-3=1 per hour (the difference between the contribution of the two units per hour) and therefore the minimum...
View ArticleBy: vcookey
I’m wondering the same thing as Damien. would be happy if someone replies. Thank you.
View ArticleBy: John Moffat
If Division B did not exist, then Division A would use all their labour producing product X and would earn $4 per hour (20/5). They would only be happy to produce Product Y (for anybody!) if it gave...
View ArticleBy: custardonut
Hi John, thanks for your detailed reply. But I still agree with Damien. Can you correct me if I am wrong here: I agree with you that “If Division B did not exist, then Division A would use all their...
View ArticleBy: ferrischan
@custardonut, Hi if I understand John correctly, we should not be even selling product Y. And should we sell product Y, we would need to sell it at $4/hr to make sense selling it. Thus from this the...
View ArticleBy: cathyf7
Thanks, this was a great supplemental learning tool, really helped explain TP for me.
View ArticleBy: irenaluo
this video is not playing, same as the part (C), is it my pc’s problem or the website? thanks
View ArticleBy: tanzeel
Nothing about international transfer pricing..can anyone plz give me a format to solve question of international transfer pricing..i am unable to solve from the past paper.
View ArticleBy: deepmaharaj
Dear Sir / Madam, This seems logical. As by producing Y we lose only 1 USD per hour ( For not producing X) as Minimum Transfer Price should be 70 ( Marginal Cost) + Lost Contribution by not producing X...
View ArticleBy: Mihaela
I have a question on chapter 15 Example 1 (why is there no lecture on it?) How is Tax on saving on capital allowed calculated? Many thanks, Mihaela
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