The Complexity of Transfer Pricing Decisions Enhances Internal Suppliers' Ability

question 6

True/False

The complexity of transfer pricing decisions enhances internal suppliers' ability to manipulate transfer prices to their advantage,passing cost increases downstream rather than looking for ways to reduce costs

---

Definitions:

Practical Wisdom

Practical wisdom, or phronesis, is an intellectual virtue that involves making prudent judgments and decisions based on ethical considerations and practical understanding of everyday life.

Excellent Character

Possessing outstanding moral or ethical qualities.

Golden Mean

A concept from Aristotelian ethics that represents the desirable middle between two extremes, one of excess and the other of deficiency.

Rightly

In a manner or to an extent that is justified, appropriate, or correct.