An organization that sells products to a foreign subsidiary wants to charge a price that will decrease import tariffs. Which of the following is the best course of action for the organization?
A) Decrease the transfer price.
B) Increase the transfer price.
C) Charge at the arm's length price.
D) Charge at the optimal transfer price.

Question

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The Answer of An organization that sells products to a foreign subsidiary wants to charge a price that will decrease import tariffs. Which of the following is the best course of action for the organization?
A) Decrease the transfer price.
B) Increase the transfer price.
C) Charge at the arm's length price.
D) Charge at the optimal transfer price.

An Organization That Sells Products to a Foreign Subsidiary Wants