communication partner
DIE ÜBERNAHMEPREISSE
|
The Effects of Transfer Pricing on Profit Centre Versus Firm Profits |
||||
|
DATA TABLE |
||||
|
Seller |
Buyer |
|||
|
Fixed costs |
$ 150,00 |
$ 100,00 |
(for 100 units or less) |
|
|
Variable costs/unit |
$ 0,10 |
$ 0,20 |
(over 100 units) |
|
|
Demand for buyer division's final output |
||||
|
Quantity sold |
Price |
|||
|
100 |
$ 2,00 |
B$13$ |
||
|
200 |
$ 1,80 |
|||
|
300 |
$ 1,50 |
|||
|
400 |
$ 1,30 |
|||
|
500 |
$ 1,20 |
|||
|
|
600 |
$ 1,04 |
C$18$ |
|
|
Output of Buying division |
||||
|
Units: |
200 |
B$21$ |
||
|
Transfer price: |
$ 0,95 |
B$23$ |
||
|
PROFITS |
||||
|
Buying division |
=(SVERWEIS(B21;B13:C18;2)*B21) |
|||
|
Revenue |
$360,00 |
|||
|
Own costs |
120,00 |
|||
|
Costs from seller |
||||
|
(at transfer price) |
190,00 |
|||
|
Profit |
$ 50,00 |
|||
|
Selling division |
||||
|
Revenue |
$190,00 |
=B21*B23 |
||
|
Costs |
170,00 |
|||
|
Profits |
$20,00 |
|||
|
Total firm |
||||
|
Total revenue |
$360,00 |
|||
|
Total costs |
290,00 |
|||
|
Firm profits |
$70,00 |
|||