The pricing of goods, services, and technology transferred to a foreign subsidiary from an affiliated company, transfer pricing, is the first and foremost method of transferring funds out of a foreign subsidiary. When engaged in transfer pricing managers must consider at least two basic factors; Fund Positioning Effect and the Income Tax Effect. Explain each of these effects.

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The Answer of The pricing of goods, services, and technology transferred to a foreign subsidiary from an affiliated company, transfer pricing, is the first and foremost method of transferring funds out of a foreign subsidiary. When engaged in transfer pricing managers must consider at least two basic factors; Fund Positioning Effect and the Income Tax Effect. Explain each of these effects.

The Pricing of Goods, Services, and Technology Transferred to a Foreign