This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: MNEs most likely engage in transfer pricing for which of the following reasons? A) Managers want ... (Read 163 times)

rayancarla1

  • Hero Member
  • *****
  • Posts: 571
on: Jul 7, 2018
MNEs most likely engage in transfer pricing for which of the following reasons?
 
  A) Managers want to maintain a steady stream of foreign-earned income in countries with strong currencies.
  B) Firms want to generate additional sales by charging low prices to developing countries and high prices to advanced economies.
  C) Management wants to maximize profitability by moving profits from a nation with high corporate taxes to one with low corporate taxes.
  D) Firms want to maximize expenditures in countries with weak economies and shift the savings to advertising and transportation costs.

Question 2

Which of the following is a primary cause of gray market activity?
 
  A) a firm's inability to control production and distribution costs
  B) a significant difference in price between national distributors
  C) a firm's decision to flood the market with substandard products
  D) a large price difference between two countries for the same product


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

mammy1697

  • Sr. Member
  • ****
  • Posts: 341
Reply #1 on: Jul 7, 2018
Answer to Question 1

C

Answer to Question 2

D


rayancarla1

  • Member
  • Posts: 571
Reply 2 on: Jul 7, 2018
:D TYSM

Kedrick2014

  • Member
  • Posts: 359
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

Did you know?

GI conditions that will keep you out of the U.S. armed services include ulcers, varices, fistulas, esophagitis, gastritis, congenital abnormalities, inflammatory bowel disease, enteritis, colitis, proctitis, duodenal diverticula, malabsorption syndromes, hepatitis, cirrhosis, cysts, abscesses, pancreatitis, polyps, certain hemorrhoids, splenomegaly, hernias, recent abdominal surgery, GI bypass or stomach stapling, and artificial GI openings.

Did you know?

Blood in the urine can be a sign of a kidney stone, glomerulonephritis, or other kidney problems.

Did you know?

Intradermal injections are somewhat difficult to correctly administer because the skin layers are so thin that it is easy to accidentally punch through to the deeper subcutaneous layer.

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Three Mechanisms of Gene Transfer Found in Bacteria Three Mechanisms of Gene Transfer Found in Bacteria
F plasmids transfer during conjugation F plasmids transfer during conjugation
Forearm application to engage the common fascial restrictions in the trapezius and levator scapula ... Forearm application to engage the common fascial restrictions in the trapezius and levator scapula ...
The transfer experiment that demonstrated the existence of RNA primers in DNA replication The transfer experiment that demonstrated the existence of RNA primers in DNA replication
Energy Transfer Energy Transfer
Fathers engage in physical play with infants more often than mothers do Fathers engage in physical play with infants more often than mothers do
Video: Electrocardiogram Examination

For a complete list of videos, visit our video library