Dual pricing uses two separate transfer-pricing methods to price each transfer from one subunit to another.

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Dual pricing is a transfer pricing method that uses two separate transfer-pricing methods to price each transfer from one subunit to another. One transfer price is used to calculate the profit of the selling subunit, and the other transfer price is used to calculate the profit of the buying subunit. This helps to ensure that both subunits are fairly compensated for their contributions to the overall organization.

Dual Pricing Uses Two Separate Transfer-Pricing Methods to Price Each