
Economics Economics Forum  Financial Mathematics, Econometrics, Operations Research, Mathematical Finance, Computational Finance 
 LinkBack  Thread Tools  Display Modes 
April 30th, 2015, 10:02 PM  #1 
Senior Member Joined: Dec 2010 Posts: 233 Thanks: 0  Unrealised profit
During the year ended 31st December 2009, Grey Ltd has sold goods to Blue plc for £65,000 (transfer price). The standard gross profit % charged on intercompany sales is 30%. 50% of these goods have since been sold by Blue plc to external customers. I used to calculate like that , 65000 x 0.3 x 0.5 = 9750 but the marking scheme is given the unrealised profit is 13000 . I just wonder how it is calculate or maybe i misunderstand the meaning of transfer price ? Can anyone explain to me step by step . Thank you. 

Tags 
profit, unrealised 
Thread Tools  
Display Modes  

Similar Threads  
Thread  Thread Starter  Forum  Replies  Last Post 
PROFIT MAX  Fificonn03  Calculus  0  March 19th, 2014 06:15 AM 
Max Profit  mathkid  Calculus  9  November 21st, 2012 02:07 AM 
Max Profit  mathkid  Calculus  32  November 17th, 2012 08:56 PM 
Max Profit  mathkid  Calculus  8  November 11th, 2012 02:16 PM 
Profit Marginal Profit  mathkid  Calculus  4  September 24th, 2012 09:35 PM 