Macon Corporation Manufactures an Exercise Machine at a Cost of $800

question 4

Multiple Choice

Macon Corporation manufactures an exercise machine at a cost of $800 and sells the machine to Kershaw Corporation for $1,000 in 2012.Kershaw incurs TV advertising expenses of $300 and sells the machine by phone order for $1,500.If Macon and Kershaw corporations are members of an expanded affiliated group (EAG) ,their DPGR is:

• A)$30.
• B)$800.
• C)$1,200.
• D)$1,500.
• E)None of the above.

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Definitions:

Product

Any item or service that is offered to the market to fulfill a want or need.

Curiosity

A strong desire to know or learn something, often driving exploration and discovery.

Low-Profile

Maintaining a position of limited public attention or visibility, often to avoid scrutiny or maintain privacy.

Customer Knowledge

The information and understanding a business holds about its customers, including preferences, behaviors, and purchasing patterns, crucial for effective marketing and sales strategies.