accounting

3. Calculate the minimum allowable maquiladora transfer price per pound under the Safe Harbor provisions. Using this new transfer price, calculate PFC’s revised (a) total broccoli costs from EFSA (including import duties) and (b) combined weighted average broccoli cost.

Please provide a single numerical answers for (a) total broccoli costs from EFSA (including import duties) and (b) combined weighted average broccoli costs. Complete your calculations for transfer price in the spreadsheet tab labelled (Q3) transfer price. Be certain to use formulas in your spreadsheet.

4. If EFSA charges the minimum allowable maquiladora transfer price, calculate the effect on EFSA’s pre-tax income and PFC’s pre-tax income.

Please provide a single numerical answers for (a) EFSA pre-tax income and (b) PFC’s pre-tax income. Show calculations for pre-tax income in the spreadsheet tab labelled (Q4) pre-tax income. Be certain to use formulas in your spreadsheet. No written response is expected here for this question.