Which of the Following Statements Is(are)true? (A)If a Transfer Has

question 54

Multiple Choice

Which of the following statements is(are) true? (A) If a transfer has no effect on divisional profit,managers will be indifferent between making the transfer or not.(B) If an intermediate market exists but divisions are prohibited from buying or selling from the outside,the intermediate market can be ignored in determining the optimal transfer price.

• A) Only A is true.
• B) Only B is true.
• C) Both A and B are true.
• D) Neither A nor B is true.

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Definitions:

Secretive Mission

A mission conducted with the utmost discretion and secrecy, often for security or strategic purposes.

Ethical Behavior

The practice of conducting oneself according to accepted principles of right and wrong, especially in a professional context.

Organizational Cultures

The shared values, beliefs, and practices that shape the social and psychological environment of a business organization.

Adopting Values

The process through which individuals or organizations integrate new beliefs, attitudes, and standards into their existing value systems.