The Internet is making global price differences more obvious, forcing companies toward more standardized international pricing

Assume the Thread Division has excess capacity. The Garment Division wants the Thread Division to furnish them additional spools of thread that could be made using the excess capacity. In a negotiated transfer price, the Thread Division should accept as a minimum any transfer price that exceeds the

a) total cost of producing spools for outside sales. b) variable costs of producing the additional spools for the Garment Division. c) contribution margin and outside spool sales. d) foregone contribution margin on outside spool sales.

Advantages of the corporate form of business organization include

A) minimal legal requirements. B) double taxation. C) easier transfer of ownership. D) none of the above