Transfer pricing is heavily used by multinational corporations not only to calculate ROI, but also
A) to reduce taxes.
B) to locate suppliers.
C) for marketing reasons.
D) for manufacturing location decisions.
E) for outsourcing.

Question

Quizplus · Accepted Answer

Transfer pricing is used by multinational corporations to allocate income and expenses among different countries, often to reduce the overall tax burden by shifting profits to low-tax jurisdictions.

Transfer Pricing Is Heavily Used by Multinational Corporations Not Only