Optimal corporate decisions are made when goods or services are transferred at _____ prices.

Question

Quizplus · Accepted Answer

Optimal corporate decisions are made when goods or services are transferred at market prices because market prices reflect the current supply and demand conditions of the market. This allows for the efficient allocation of resources and helps to ensure that the company is maximizing its profits. Transferring goods or services at full cost or variable cost may not reflect the true market value and may result in suboptimal decisions. Transferring goods or services at fixed cost may not be reflective of the current market conditions and could lead to inefficient resource allocation.

Optimal Corporate Decisions Are Made When Goods or Services Are