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Which of the Following Statements About Transfer Pricing Is/are True

question 24

Multiple Choice

Which of the following statements about transfer pricing is/are true?
i. Income taxes and import duties are an important consideration when setting a transfer price for international companies.
ii. Transfer prices cannot be used by organisations in a service industry.
iii. Transfer prices are totally cost-based and not market-based.


Definitions:

Monosomy

A chromosomal condition characterized by the absence of one chromosome from the normal diploid number of a species, leading to genetic disorders.

Sex Chromosomes

Chromosomes that determine the sex of an organism, with common configurations being XY for male and XX for female in humans.

Sex-linked Gene

A gene located on a sex chromosome (commonly the X chromosome), which often leads to the expression of traits differing between sexes.

Color-blindness

is a condition where an individual has difficulty distinguishing between certain colors, due to defects in the color-sensing pigments in the eye.

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