P2 Exam Dumps : Advanced Management Accounting

1 + money rate = (1 + real rate) x (1 + inflation rate)

1 + real rate = (1 + money rate) / (1 + inflation rate)

1 + real rate = (1 + inflation rate) / (1 + money rate)

1 + money rate = (1 + inflation rate) / (1 + real rate)

1 + inflation rate = (1 + money rate) x (1 + real rate)

87%

8%

84%

93%

The selling price recorded by the selling division is higher than the cost recorded by the receiving division.

Internal customers are offered trade discounts depending on the number of units they purchase.

Internal transfers are priced at marginal cost and a lump sum payment is made subsequently to contribute to fixed costs.

Internal customers are charged a lower price than external customers to reflect savings in distribution costs.