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A market-based transfer price considers the ________ when determining the transfer price.
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A market-based transfer price considers the ________ when determining the transfer price.
A market-based transfer price considers the ________ when determining the transfer price.
A) variable costs
B) sales price of goods
C) contribution margin
D) cost of the goods
Textbook
Horngren's Financial & Managerial Accounting, The Financial Chapters
Edition:
5
th
Authors:
Miller-Nobles, Mattison, Matsumura
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How does cost-based transfer price method help managers to determine transfer prices?
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A cost-based transfer price considers the cost of producing the goods when determining the price.
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The transfer price should be an amount between the market price and the variable cost.
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What is a transfer price? List the four ways of determining a transfer price.
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This was certainly a tough question, loving the expertise
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