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What are the Objectives of Intra company transfer pricing
The objectives of Intra company transfer pricing are:
1) Evolution of performance and efficiency of each division.
2) Assessment of profitability of each division.
3) Decision marking whether to manufacture of buy sell as it is or to process it further, for each division.
4) Maintenance of secrecy of the cost of production of each division.
5)Encourage each division to each profit on competitive basis, maximize them and thereby accumulate greater profit to the company as a whole.
Negotiated prices Where market based prices are not applicable, it has been argued that allowing managers to bargain with each other in order to establish transfer prices devel
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SK 2 Chapter 10: Master budgeting Objective How organisations strive to achieve their financial goals by preparing a number of budgets that together form an integrated business pla
Correlation coefficient (r) Correlation coefficient measures the degree of association between two variables such as the cost and the activity level. r = nΣxy - Σx Σy
Question: (a) A retail store wants to evaluate how many units it must sell in order to earn a profit of Rs 10000 per month if the price of the unit is Rs 300, the average varia
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what are characteristics of relevant cost?
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