1) Your company is opening some subsidiaries in several countries. For the subsidiary in each country, discuss the advantages of getting additional financing with debt or equity, internally or externally, and by the parent or subsidiary. Assume your marginal corporate tax rate is 35% in the US. a) The branch office in Sweden where the marginal tax rate is 60%. b) The branch office in Hong Kong where the marginal tax rate is 10%. c) Now assume that UIP holds for Korea, where the interest rate you would borrow at is 20%, and the currency is expected to depreciate by 10%. You can borrow at 10% in US dollars. Should the parent or the subsidiary do the borrowing

Laval produces lamps and home lighting fixtures. its most popular product is a brushed aluminum desk lamp. this lamp is made from components shaped in the fabricating department and assembled in the assembly department. information related to the 22,000 desk lamps produced annually follows.direct materials $280,000direct labor fabricating department (8,000 dlh × $24 per dlh) $192,000assembly department (16,600 dlh × $26 per dlh) $431,600machine hours fabricating department $15,200mhassembly department $20,850mhexpected overhead cost and related data for the two production departments follow.fabricating assemblydirect labor hours 150,000dlh 295,000dlhmachine hours 161,000mh 128,000mhoverhead cost $400,000 430,000required1. determine the plantwide overhead rate for laval using direct labor hours as a base.2. determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate.3. compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department.4. use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps.