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Hey John,
I looked through the suggested answers and found that I have made a mistake while calculating the driver rate (question 1) as a result I got the overheads way above what they are 🙁 I also commented on these incorrect overheads that I calculated. I made a comment stating that the company should consider using ABC since overheads are a major part of their costs. Would they give a consideration or would I be getting a complete zero for this one?
For the Transfer Pricing question I incorrectly wrote the transfer price range between $800 and 820. But my explanation for the number of units to supply S is right. so is it possible for me to expect more than 5 marks for this question?
I am sorry but I cannot possibly say how many marks you will get, because I am not the marker, and I cannot see exactly what you wrote.
All I can say is two things:
Firstly, the marks are mainly for your workings. If you were doing things the right way then you get marks for each bit that you did correctly (provided the marker can follow your workings because they were neat enough). The final answer does not matter much.
Secondly, you do not lose marks twice. So if you get the answer to part (a) wrong, then you can still get full marks for part (b) if you wrote sensible comments on the answer that you got.Thanks, that was a relief knowing that I wouldn’t be getting a zilch in the first one 🙂
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