Use of Market Transfer Prices

question 56

Multiple Choice

Use of market transfer prices

• A)is the only acceptable approach in a free enterprise economy.
• B)usually does not cause the selling division to ignore negotiating attempts by the buying division.
• C)may cause an internal shortage of materials.
• D)usually does not work against the operating objectives of the company as a whole.

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Definitions:

Sound Waves

Vibrations that travel through the air or another medium, which can be heard when they reach a person's or animal's ear.

Middle Ear

The part of the ear between the eardrum and the inner ear that contains three small bones that vibrate to transmit sound.

Contrast Effects

The alteration of perception or judgment of one thing, caused by the recent exposure to a different level of the same or another stimulus.

Absolute Thresholds

Absolute thresholds refer to the minimum intensity of a stimulus that is required for a person to detect its presence 50% of the time.