A reason there are divisional conflicts over the transfer price
a. the manager of the upstream division gets rewarded for a transfer price that is too high
b. the manager of the downstream division gets rewarded for a transfer price that is too low
c. the corporate headquarters does not have enough information to determine the correct transfer price
d. all of the above
Question 2
Physicians who own their own diagnostic testing facilities tend to order more tests, charge higher fees for them, and have higher total bills to patients. This practice of self-referral is an example of
a. moral hazard.
b. adverse selection.
c. resipsaloquitor.
d. physician-induced demand.
e. cognitive dissonance.
Gene Transfer by Plasmids p2
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