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Author Question: A major advantage of using actual costs for transfer prices is that often inefficiencies are NOT ... (Read 55 times)

audragclark

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Question 1

When companies do not want to use market prices or find it too costly, they typically use ________ prices, even though suboptimal decisions may occur.
◦ average-cost
◦ full-cost
◦ long-run cost
◦ short-run average cost

Question 2

A major advantage of using actual costs for transfer prices is that often inefficiencies are NOT passed along to the receiving division.
◦ true
◦ false


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Marked as best answer by audragclark on Mar 6, 2021

jojobee318

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audragclark

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Reply 2 on: Mar 6, 2021
Excellent


scikid

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

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