As noted in the text, the use of market price can be used to set the transfer price associated with interdivisional transfers of goods and services.
Required:
1. What are the primary advantages of using market price as the transfer price?
2. What are the primary disadvantages of using market price as the transfer price?

Question

Quizplus · Accepted Answer

The Answer of As noted in the text, the use of market price can be used to set the transfer price associated with interdivisional transfers of goods and services.
Required:
1. What are the primary advantages of using market price as the transfer price?
2. What are the primary disadvantages of using market price as the transfer price?

As Noted in the Text, the Use of Market Price