Use the Information Below to Answer the Following Question(s)

question 80

Multiple Choice

Use the information below to answer the following question(s) .Bon Accord uses two divisions in the production of soybean burgers.Division A sells soybean paste internally to Division B, which, in turn, produces soybean burgers that sell for $5 per kilogram.Division A incurs costs of $0.75 per kilogram, while Division B incurs additional costs of $2.50 per kilogram.
-What is Division B's operating income per kilogram assuming the transfer price of the soybean paste is set at $1.25 per kilogram?

• A)$0.500
• B)$0.875
• C)$1.250
• D)$1.625
• E)$1.525

Comprehend key leadership theories, including Fiedler's contingency theory, path-goal theory, and transformational leadership theory.

Grasp the role and impact of mentors in professional development and organizational commitment.

Understand the distinctions and characteristics of transformational and transactional leadership.

Appreciate the significance of situational factors in determining leadership effectiveness.

---

Definitions:

Trade or Business

Any activity carried on for the production of income from selling goods or performing services.

Necessary Expense

An expense that is considered essential for the generation of income or for maintaining a living condition, often considered for tax deductions.

Taxpayer's Business

This term generally refers to any business activity or venture that is conducted with the aim of generating income or profit taxable to the individual or entity undertaking the activity.

Cash-Basis Taxpayer

An individual or entity that reports income and deductions in the year that cash is received or paid, respectively.