Primary Task Response: Within the Discussion Board area, write 400–600 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas:
Read this article that discusses transfer pricing and what manufacturers need to know (https://www.industryweek.com/finance/software-systems/article/21953507/what-manufacturers-need-to-know-about-transfer-pricing).
Write a memo to management that addresses the following questions:
What are the major potential ethical issues that the company could encounter when using a negotiated transfer pricing model instead of a market-based transfer pricing model?
How can company management avoid these ethical issues in the future?
Whether or not the selected data will support proving the workability of the solution
How the data may be better presented
For assistance with your assignment, please use your text, Web resources, and all course materials.
Reference
Bowen, D., O’Meara, J., & Thornton, G. (2011, February 24). What pricing manufacturers need to know about transfer pricing. IndustryWeek. https://www.industryweek.com/finance/software-systems/article/21953507/what-manufacturers-need-to-know-about-transfer-pricing
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