The Practice of Creating an Artificial Price to Use in Its

question 180

Multiple Choice

The practice of creating an artificial price to use in its accounts when a firm sells goods from a division located in one country to a division within the U.S. is referred to as:

• A) artificial pricing
• B) pseudo pricing
• C) transfer pricing
• D) false market pricing
• E) internal market pricing

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Definitions:

Precarious Assumptions

Risky or uncertain beliefs that are accepted without solid evidence or secure foundations.

Constructs Listed

The specified elements or variables within a study or theory that have been identified for analysis or measurement.

Cognitive Approach

A psychological perspective that emphasizes the role of mental processes in how people perceive, remember, think, and solve problems.

Law of Parsimony

The principle that suggests the simplest explanation of an event or phenomenon is usually the correct one.