Assume That the Plastics Division Has Excess Capacity and It

question 26

Multiple Choice

Assume that the Plastics Division has excess capacity and it has negotiated a transfer price of $5.60 per plastic component with the Entertainment Division.This price will

• A)cause the Plastics Division to reduce the number of commercial plastic components it manufactures.
• B)motivate both divisions as estimated profits are shared.
• C)encourage the Entertainment Division to seek an outside source for plastic components.
• D)demotivate the Plastics Division causing mediocre performance.

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Definitions:

Dorsal

Pertaining to the back or posterior part of an organism, opposite of ventral.

Distal

A term describing a position farther from the point of attachment or origin, typically used in reference to limbs or anatomical structures.

Ventral

Ventral refers to the front or abdominal side of the body in anatomical terms, opposite of dorsal, which refers to the back side.

Nerve Cells

Specialized cells that transmit electrical signals throughout the body, essential for brain function and the nervous system.