What is transfer pricing ?why do transnational corporations resort to transfer pricing?
Answers
Answered by
10
A transfer price is the price paid for an exchange of goods and services between related affiliates of the same transnational company TNC. In most instances this involves either the parent firm trading with a subsidiary or two subsidiaries of the same TNC trading with each other.
Rossily:
Please mark my answer to the brainliest
Answered by
2
Between corporates, if they exchange goods or use resources from one division to another division , the price paid for this service is called as transfer price.
why because ,this transfer pricing is mainly used to avoid the corporate tax avoidance
Similar questions