Multinational Companies Use Transfer Prices to Minimize Worldwide Income Taxes,________

question 53

Multiple Choice

Multinational companies use transfer prices to minimize worldwide income taxes,________ and ________.

• A) tariffs; financial restrictions imposed by U.S. government
• B) tariffs; import duties
• C) financial restrictions imposed by U.S. government; import duties
• D) foreign bribes; import duties

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Definitions:

Salary Expense

This is the total amount paid to employees for services rendered during a specific period, recorded as an expense on the income statement.