If it is particularly difficult for the corporate headquarters to determine the correct transfer price
a. average costs is a good enough approximation
b. average variable costs is a good enough approximation
c. a similar products market price is a good enough approximation
d. the upstream division could be run as a cost center
d
Economics
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Even when two goods are perfect substitutes one can sell at a premium over the other depending on the tastes and preferences of the consumers
Indicate whether the statement is true or false
Economics
The price of a gallon of gasoline at the pump increased by 5 percent at the same time that the inflation rate was also 5 percent. The nominal price of gasoline ________, and the real price of gasoline ________.
A. did not change; increased B. increased; did not change C. did not change; did not change D. increased; decreased
Economics