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Hubbard,Rice and Galvin suggest that a model for change needs to consider four variables:
Effective Tax Rate
The percentage of their income that individuals or corporations pay in taxes, taking into account all deductions and credits.
Unrealized Pre-Tax Profits
Profits that have been recorded in financial statements but have not yet been subjected to taxation due to non-realization through sales.
Intercompany Sale
A transaction of goods or services that occurs between two entities within the same parent company.
Mark-Up
The amount added to the cost price of goods to cover overhead and profit; a percentage over cost.
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