When setting transfer prices, company officials need to consider
A) What will motivate managers to control costs
B) What will motivate managers to maintain the highest and best level of effort
C) What will minimize taxes, customs charges and duties
D) All of the above

Question

Quizplus · Accepted Answer

Setting transfer prices involves considering factors that motivate managers to control costs and maintain high levels of effort, as well as strategies to minimize taxes, customs charges, and duties.

When Setting Transfer Prices, Company Officials Need to Consider