Find sub-optimal divisional decision-making

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Question 1: Transferring products or services at current market prices leads to sub-optimal divisional decision-making when:

Option 1: there is distress pricing in the market

Option 2: there are no additional costs or benefits to the company in buying or selling in the external market

Option 3: the interdependencies of the subunits are minimal

Option 4: the market for the transferred product is perfectly competitive

Reference no: EM132529542

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