The "Floor" in Transfer Pricing Is

question 129

Multiple Choice

The "floor" in transfer pricing is

• A)the transfer price that would leave the buying division no worse off if an input is purchased from an internal division.
• B)the transfer price that would leave the selling division no worse off if the good is sold to an internal division.
• C)the transfer price that would leave the buying division worse off if an input is purchased from an internal division.
• D)none of these.

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Definitions:

Osmotic Pressure

The pressure that must be applied to a solution to prevent the inward flow of water across a semipermeable membrane, related to the concentration of solutes.

Guard Cells

Specialized cell pairs that flank stomatal pores on plant leaves, regulating the opening and closing of the pores to control gas exchange and water loss.

Casparian Strip

A band of cell wall material found in plant roots that is impervious to water and solutes, ensuring that all materials pass through a cell membrane before entering the plant.

Endodermal Cells

Cells that form the endoderm, the innermost layer of the embryo, giving rise to the lining of the digestive and respiratory tracts.