SCM 1. Toyota’s Laguna Division is currently purchasing a p

SCM 1. Toyota’s Laguna Division is currently purchasing a part from… SCM  1. Toyota’s Laguna Division is currently purchasing a part from an outside supplier.  The company’s Quezon Division, which has excess capacity, makes and sells this part for external customers at a variable cost of P22 and a selling price of P34.  If Quezon begins sales to Laguna, it (1) will use the general transfer-pricing rule and (2) will be able to reduce variable cost on internal transfers by P4.  If sales to outsiders will not be affected, Quezon would establish a transfer price of: • P18.• P22.• P30.• P34.• None of the above   2. Poodle Company manufactures two products, Mini A and Maxi B.  Poodle’s overhead costs consist of setting up machines, P800,000; machining P1,800,000; and inspecting, P600,000.  Information on the two products is:Image transcription textPoodle Company manufactures two products, Mini A and Maxi B. Poodle’s overhead cosls consist of setting upmachines, P303303; machining P1,B?0,000; and inspecting, PEDICI,000. Information on the two products is:Mini A Maxi B Direct labor hours 15,000 25,000 Machine set—ups I500 400 Machine hours 24,00… Show more… Show more• P 1,280,000• P 1,536,000• P 1,664,000• P 2,000,000  3. Listed below are a company’s monthly unit costs to manufacture and market a particular product.Unit Costs             Variable Cost                   Fixed CostsDirect materials                P2.00    Direct labor                       2.40    Indirect Manufacturing    1.60                     P1.00Marketing                         2.50                    1.50The company must decide to continue making the product or buy it from an outside supplier.  The supplier has offered to make the product at the same level of quality that the company can make it.  Fixed marketing costs would be unaffected, but variable marketing costs would be reduced by 30% if the company were to accept the proposal.  What is the maximum amount per unit that the company can pay the supplier without decreasing its operating income? • P5.25• P7.75• P6.75• P8.50• None of the above Accounting Business Managerial Accounting BSA 00

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