Question: 1. What should be Capitool's general policy on the formulation of international transfer prices? 2. What methods should be used to set Capitool's transfer prices

1. What should be Capitool's general policy on the formulation of international transfer prices?
2. What methods should be used to set Capitool's transfer prices and who should be involved in the process?
3. Should Capitool have a system of multiple transfer prices: (a) for different products, (b) to different countries or (c) to different classes of customers?

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1 It appears that Capitools policy for formulating international transfer prices and for implementing same is based in part on so called armslength ne... View full answer

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