"Which bid should northern division accept that is in the best interests of birch paper company" Essays and Research Papers

Sort By:
Satisfactory Essays
Good Essays
Better Essays
Powerful Essays
Best Essays
Page 1 of 50 - About 500 Essays
  • Good Essays

    Birch Paper Company

    • 656 Words
    • 3 Pages

    Birch Paper Company Relevant Information & Equations 1) Birch Paper Company is a producer of paper‚ paperboard‚ and corrugated boxes. The company is integrated‚ consisting of four separate production divisions. One of its divisionsNorthern Division‚ asked for bids on a special corrugated box. It requested bids from one of its sister division (Thompson Division) and from two outside companies. The issue at hand is whether Northern should accept a bid from its sister division or from one

    Premium

    • 656 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Birch Paper Company

    • 1125 Words
    • 5 Pages

    to another in companies that have a significant number of these transactions. The objectives of this case is whether the Northern Division of Birch Paper Company should buy corrugated boxes for a new product internally from the Thompson Division at a transfer price higher than the market price‚ or from one of their external suppliers. Also‚ should the vice president of Birch Paper Company take any action on the bidding price or final purchase decision for one internal division to another internal

    Premium Transfer pricing Cost Costs

    • 1125 Words
    • 5 Pages
    Better Essays
  • Good Essays

    Birch Paper Company

    • 807 Words
    • 3 Pages

    Birch Paper Company Information given (All costs are for quantity of 1000) 1. If Northern accepts the bid from Thompson Thompson companies Out of Pocket costs for 1000 boxes = $400 70% of Thompson Out of Pocket costs = Selling price of Southern division (line and corrugating medium) Hence‚ selling price of Southern = 70% * 400 = $280 Hence‚ Out of Pocket costs for Southern = 60% 280 = $168 2. If Northern accepts the bid from West No out of pocket costs Thompson and Southern 3. If Northern accepts

    Premium Accept Costs Cost

    • 807 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Birch Paper Company

    • 520 Words
    • 2 Pages

    BIRCH PAPER COMPANY Overview Birch Paper is a classic case that provides an excellent opportunity to present‚ analyze‚ and evaluate transfer pricing issues. In only two pages‚ the case presents a common business situation involving the relationship between three divisions and suggests several typical transfer pricing solutions: (1) at variable cost; (2) at full cost; (3) at full cost plus profit; (4) at market price; and (5) at a negotiated price. This setting facilitates the discussion of the

    Premium Cost Costs Transfer pricing

    • 520 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Birch Paper Company

    • 923 Words
    • 3 Pages

    Birch Paper Company Birch Paper company is a medium-sized‚ partly integrated paper company‚ producing white and kraft papers and paperboard. The company has four producing divisions and a timberland division. The responsibility structure of the Birch Paper Company and all of its divisions is a Profit or Investment Centre‚ which is stated in the case: For several years‚ each division had been judged independently on the basis of its profit and return on investment. Top management had been working

    Premium Transfer pricing Price Economics

    • 923 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Company Background Birch Paper Company was a medium-sized‚ partly integrated paper company. It had four producing divisions‚ namely Northern Division‚ Thompson Division‚ Southern Division & one unnamed Division and a Timberland Division. Birch Paper was producing white and kraft papers and paperboard. A portion of its paperboard output was converted into corrugated boxes by the Thompson Divisionwhich was also printed and colored the outside surface of the boxes. Company policies The management

    Premium Transfer pricing Costs Price

    • 2789 Words
    • 12 Pages
    Powerful Essays
  • Powerful Essays

    Birch Paper

    • 1554 Words
    • 7 Pages

    Study: Final Draft Birch Paper Company 1. Background Birch Paper Company is a medium sized partly integrated company that produces Kraft papers and paperboard. There are four producing divisions and one timberland division which supplies part of the company’s pulp requirements. The divisions are - Northern Division - Southern Division - Thompson Division - Division 4 - Timberland Each division is operating independently

    Premium Transfer pricing Vice President of the United States Economics

    • 1554 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Question #1. Which bid should Mr. Kenton accept? Assuming Birch Paper’s current transfer pricing policy and rewarding system as given‚ Mr. Kenton should accept the West Paper Company bid for $430. By accepting this bid‚ the Northern Division will incur in the lowest cost possible and be able to generate a higher mark-up when selling the product. Because the division will be rewarded based on its own profit‚ this is the best decision. The company currently has a competitive profile‚ in which the divisions

    Premium Contract Marketing English-language films

    • 1040 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    BIRCH PAPER COMPANY CASE ANALYSIS Executive Summary Birch Paper Company is a medium sized‚ partly-integrated paper company. It produces white and craft papers and paperboard. It has four producing divisions and a timberland division – The Thompson division converts the paperboard output into corrugated box and prints and colors the outside surface of the box. The Northern division produces the paper box‚ while the Southern division supplies the corrugating medium and inner and outer liners. Timberland

    Premium Economics Vice President of the United States Variable cost

    • 2505 Words
    • 7 Pages
    Powerful Essays
  • Satisfactory Essays

    Case 6-2: Birch Paper Company 1. Which bid should Northern Division accept that is in the best interests of Birch Paper Company? Northern Division should accept the bid of the Thompson division even though the bid from West Paper seems at first to be the best choice. In you calculate out the cost you find that Thompson actually has the lowest costs associated with them. Costs for Thompson are as follows: Linearboard and corrugating medium: Cost $400x70%= $168 plus Out of Pocket: $400x30%=120

    Premium Transfer pricing Vice President of the United States Economics

    • 420 Words
    • 2 Pages
    Satisfactory Essays
Previous
Page 1 2 3 4 5 6 7 8 9 50