please quick answer

Use information for questions 23 to 25

The Ho Chiek Company (HCC) has 4 divisions. The following are results of one of HCCs division, Yum Yum Division (YY Division): Sales $200,000 Variable costs 10,000 Contribution margin $190,000 Fixed expenses 140,000 Segment operating profit $ 50,000 YY Divisions average operating assets are $250,000. Table 1

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23. Refer to Table 1. Profit Margin for YY Division is ___________

25%

35%

40%

60%

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24. Refer to Table 1. Asset Turnover for YY Division is ___________

100%

80%

40%

20%

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25. Refer to Table 1. Return on Investment (ROI) for YY Division is ___________

10%

15%

20%

25%

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26. Dizzy Companys Asian Regional Division invested $250,000 in fixed asset last year. If the weighted average cost of capital is 15 percent and if last years after-tax income was $50,000, then EVA for the Asian Division last year was ____________

$2,500

$17,500

$12,500

$7,500

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27. What is/are the advantage(s) of a decentralized organization?

lower level managers are able to make decision faster

promoting decsion making at lower level might increase job satisfaction and motivation

free top managment from day - to -day operational decisions to focus on strategic issues

all the above are advantages of decentralization

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28. Divisions in a decentralized organizations occasionally sell and buy from each other. What is/are the criteria when setting a transfer price?

as long as the firm as a whole is better off

as long as one of the division is better off

both the buying and selling division must not be disadvantage by the transfer price

all of the above

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29. Ordering raw material inventory frequently in small lot sizes minimizes

ordering cost

carrying cost

stock-out cost

all of the above

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30. One of the traditional reasons for holding inventory is to avoid shutdowns due to defective parts. The JIT solution is to ____________

reduce setup costs

reduce lead time

use total preventive maintenance

use total quality control