Birch Paper Company

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Written by:

Dennis B


Date added:

January 15, 2016








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5 / 1124


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Also, should the vice president of Birch Paper Company take any action on the bidding price or final purchase decision for one internal division to another internal division? EXECUTIVE SUMMARY Birch Paper Company is a medium sized, partly integrated paper company which contained four production divisions, including Thompson division, and a timberland division...
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Each division is encouraged to base its transfer price on the current market price and is judged independently on the basis of its profit and return on investments. After reviewing the Birch paper company case we feel that from the company perspective is to accept the Thompson bid. The Thompson bid is in the best interest of the company in terms of cash flows and long-term profit...
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