The OECD Is Concerned About Transfer Pricing Practices Because ________

question 59

Multiple Choice

The OECD is concerned about transfer pricing practices because ________.

• A)transfer pricing can help maximize a company's worldwide tax liability
• B)transfer prices tend to be higher in industrial than developing countries
• C)governments use transfer prices to manipulate companies' investment strategies
• D)companies use transfer prices to manipulate prices and, therefore, taxes

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Definitions:

Scatterplot

A type of graph used in statistics to display values for typically two variables for a set of data.

Correlation Coefficient

A statistical measure that indicates the extent to which two variables change together.

Measure Of Dispersion

An indication of how spread out the values of a dataset are, which can include range, variance, or standard deviation.

Standard Deviation

A statistical measure of the dispersion or variability in a set of values, indicating how much the values deviate from the mean of the set.