Explain and critically assess the general idea behind transfer pricing. Would it be beneficial for allcompanies? Why?
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Explain and critically assess the general idea behind transfer pricing. Would it be beneficial for all
companies? Why?
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- Explain the objectives of transfer pricing and describe the advantages anddisadvantages of various transfer pricing alternatives.A transfer pricing structure that considers the opportunity costs of selling to internal rather than external customers uses_______. A. the cost approach B. the general transfer pricing approach C. the market-based approach D. the opportunity cost approachWhy is there often a conflict between the performance evaluation and cost-minimization objectives of transfer pricing?