Dcribe the economic basis for transfer pricing systems


1. Describe the economic basis for transfer pricing systems.

2. ‘‘It may be desirable to use a different ROI measure for evaluating the performance of a division and the performance of the division's manager.'' Explain.

3. ‘‘The return on investment measure may be biased in favor of divisions with older plant and equipment.'' Explain.

Request for Solution File

Ask an Expert for Answer!!
Financial Accounting: Dcribe the economic basis for transfer pricing systems
Reference No:- TGS01198330

Expected delivery within 24 Hours