Transfer pricing has been identified as a major problem for multi-national entities. This refers to:

Question

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Transfer pricing refers to the pricing of goods and services exchanged within a corporate group. This can be used as a tactic to shift profits from high-tax jurisdictions to low-tax jurisdictions, ultimately reducing the overall tax liability of the multinational entity. This practice has been identified as a major problem and has led to increased scrutiny and regulation by tax authorities. The other choices provided are not directly related to transfer pricing.

Transfer Pricing Has Been Identified as a Major Problem for Multi-National