In Reference to Establishing "Transfer Prices" Between the Affiliates of an MNC,which

question 9

Multiple Choice

In reference to establishing "transfer prices" between the affiliates of an MNC,which of the following relates to the "resale" price approach?

• A)comparable uncontrolled price between unrelated firms
• B)the price at which the good is resold by the distribution affiliate is reduced by an amount to cover overhead costs and a reasonable profit
• C)assumes that the manufacturing cost is readily available
• D)is based on financial and economic models and econometric techniques

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Definitions:

ICD-9-CM Manual

A medical classification list by the World Health Organization for diseases, symptoms, and procedures, used primarily before October 2015 in the United States.

Radiology

The branch of medicine that uses imaging techniques, such as X-rays and MRI, to diagnose and sometimes treat diseases.

ICD-9-PCS

International Classification of Diseases, Ninth Revision, Procedure Coding System; a system used in the United States to classify and code hospital procedures.

ICD-9-CM

The International Classification of Diseases, Ninth Revision, Clinical Modification; a predecessor to ICD-10-CM used for coding and classifying morbidity data from inpatient and outpatient records, primary replaced by ICD-10-CM.