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In theory, what is the optimal method for establishing a transfer price?

A) Budgeted cost with or without a markup.

B) Market price.

C) Incremental cost.

D) Flexible budget cost.

Accounting Cost Accounting
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Question added by Deleted user
Date Posted: 2016/09/06
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Mukkaram Siddique
by Mukkaram Siddique , Finance, Management & Stocks , Amazon Foods Saudi Arabia

Option B.

On Market Price

So that both the divisions can realize and devise their respective profits.

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