Solved: Explain the issue of related party transaction, Finance Basics

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Explain the issue of related party transaction

Question: Explain the issue of related party transactions not being arm's length transactions and the risk that transactions with related parties might not be valued at the same amount as they would be with an independent third party. Is it simply because the actual amount of the transaction would be higher with a third party?

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Finance Basics: Explain the issue of related party transaction

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Finance Basics: Explain the issue of related party transaction

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