The use of an optimal transfer price eliminates potential conflicts between an organization's interests and the divisional manager's interest.
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Q2: In general,negotiated transfer prices fall in a
Q3: From an organization's viewpoint,transfer prices have no
Q4: When actual costs are used as the
Q5: A perfect intermediate market exists if buyers
Q6: Transfer prices cannot be used for decision
Q7: In the United States,more companies use cost-based
Q8: Transfer prices are not used to record
Q9: When a perfect intermediate market exists,the optimal
Q10: A selling division at capacity is indifferent
Q11: A transfer made at cost does not
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