All of the following are appropriate methods for determining transfer prices EXCEPT
A) cost-based transfer prices.
B) market-based transfer prices.
C) negotiated transfer prices.
D) taxation policies.
E) cost based transfer prices at 110% of full cost.

Question

Quizplus · Accepted Answer

Taxation policies are not an appropriate method for determining transfer prices, as they are based on government regulations and not reflective of market or internal factors. The other options listed are all valid methods for determining transfer prices.

All of the Following Are Appropriate Methods for Determining Transfer