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Other Fields Homework Help Accounting Topic started by: jerico on Mar 14, 2015



Title: Which of the following is a disadvantage of using negotiated transfer price?
Post by: jerico on Mar 14, 2015
Which of the following is a disadvantage of using negotiated transfer price?
A) It requires each division manager to put forth effort to increase division operating income.
B) Negotiated transfer prices take away the divisional autonomy as prices depend on bargaining strength.
C) Negotiations usually require much time and energy thereby consuming precious managerial time.
D) It may lead to divisional enmity because negotiation process may cause frictions among departments.


Title: Re: Which of the following is a disadvantage of using negotiated transfer price?
Post by: cyborg on Mar 15, 2015
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Title: Re: Which of the following is a disadvantage of using negotiated transfer price?
Post by: jerico on Mar 23, 2015
I can confidently say that it looks and sounds right lol Thank you :) Give this man a thumbs up.


Title: Re: Which of the following is a disadvantage of using negotiated transfer price?
Post by: cyborg on Mar 23, 2015
;D