1. Cost-plus method Under the cost-plus method, verifiable data supports a 40% cost plus mark up as the benchmark for the industry and so for B. 2. Resale price method Here, verifiable data supports a 20% gross margin as the benchmark for the industry and so for S. 3. Transactional net margin method Under this method, a number of different variables are presented: i. S is to be the tested party and verifiable data supports the net profit indicator as a mark-up on operating costs only of 10%. ii. S is to be the tested party and verifiable data supports the net profit indicator as a mark-up on operating costs only of 15%. iii. Where B is to be the tested party and verifiable data supports the net profit indicator as a 10% mark-up on full costs. iv. Where B is the tested party and verifiable data supports the net profit indicator as a benchmark return of 5% net margin or sales. REQUIRED Write an appraisal of the likely transfer pricing implications of adopting the specific transfer pricing methodologies referenced above 1. to 3 . for the transaction between B and S and a brief consideration of the most appropriate methodology