What defines the bargaining range?
A)market price and the minimum transfer price
B)market price and the maximum transfer price
C)the minimum transfer price and the maximum transfer price
D)the negotiated transfer price and the market price

Question

Quizplus · Accepted Answer

The bargaining range is defined by the minimum transfer price and the maximum transfer price. The minimum transfer price is the lowest price that the selling division is willing to accept while the maximum transfer price is the highest price that the buying division is willing to pay. The bargaining range is the range between these two prices within which the transfer price can be negotiated.

What Defines the Bargaining Range