Transfer Pricing Is a Strategy That May Be Used by MNEs

question 77

Multiple Choice

Transfer pricing is a strategy that may be used by MNEs to ________.

• A)reduce consolidated corporate income taxes
• B)partially finance a subsidiary in another country
• C)transfer funds from a subsidiary to the parent corporation
• D)all of the above

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Definitions:

Diaphysis

The main or mid section (shaft) of a long bone, which is typically cylindrical in shape and contains the bone marrow and growth plates.

Ossification

The process by which bone is formed, renewed, and repaired in the body.

Cranium

The part of the skull that encloses the brain.

Uric Acid

A chemical created when the body breaks down substances called purines, excessive amounts of which can lead to gout and kidney stones.