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.

• A) i
• B) ii
• C) i and ii
• D) All of the given answers

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Definitions:

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