ABC plz operates a shared service centre that provides accounting purchasing and legal services to all gup companies. Th
Posted: Fri Jul 01, 2022 9:00 am
ABC plz operates a shared service centre thatprovides accounting purchasing and legal services to all gupcompanies. The shared service centre is treated as a cost centrefor performance appraisal purposes
Which of the following would be the mostappropriate basis for setting a transfer price for the servicesprovided by the shared centre?
A. Actual full cost of the service plus a profitmark-up
B. Standard full cost of the service plus amark-up
c. Actual variable cost of the service plus a share ofactual fixed costs
d. Standard variable coal of the service plus a share ofbudgeted fixed costs
Which of the following would be the mostappropriate basis for setting a transfer price for the servicesprovided by the shared centre?
A. Actual full cost of the service plus a profitmark-up
B. Standard full cost of the service plus amark-up
c. Actual variable cost of the service plus a share ofactual fixed costs
d. Standard variable coal of the service plus a share ofbudgeted fixed costs