In computing a transfer price, the maximum price should be no higher than the lowest market price at which the buying segment can obtain the good or service externally

Indicate whether the statement is true or false


T

Business

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The study of guests is important because ______.

a. sometimes they do what you want and sometimes they don’t b. managing guests is like making cars—you have to study them to understand them c. your guest defines the value and quality of your service d. guest-focused organizations have higher employee morale

Business

________ are indirect costs that are incurred to benefit more than one segment and that cannot be directly traced to a particular segment

a. Segment costs b. Common costs c. Variable costs d. Mixed costs

Business

Carol enters into a contract to hire Joanne to paint a portrait of Carol's favorite cat. Joanne agrees to do the portrait to Carol's satisfaction for $100. When Joanne finishes the portrait, Carol announces that she is not satisfied with the portrait because it does not look like her cat. Carol A) must accept the portrait and pay Joanne $100

B) mustaccept the portrait and pay Joanne $50. C) mustaccept the portrait and pay Joanne $25. D) does not have to accept the portrait or pay Joanne any money.

Business

Global entrepreneurs are now considered by others as

a. weaker in innovation. b. wearing different hats. c. narrow-minded. d.only dedicated to global business aspects.

Business