The optimal transfer price when there are intermediate markets is
A)full cost.
B)outlay costs.
C)variable cost.
D)market prices.
E)negotiated market prices.

Name: The optimal transfer price when there are intermediate markets is A)full cost. B)outlay costs. C)variable cost. D)market prices. E)negotiated market prices.
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Question

Quizplus · Accepted Answer

When there are intermediate markets, the optimal transfer price is the market price, as it reflects the opportunity cost of transferring goods internally versus selling them externally.

The Optimal Transfer Price When There Are Intermediate Markets Is