Question: Trans Atlantic Metals has two operating divisions. Its forging operation in Finland forges raw metal, Division uses the metal to produce finished gears. Operating expenses

Trans Atlantic Metals has two operating
Trans Atlantic Metals has two operating divisions. Its forging operation in Finland forges raw metal, Division uses the metal to produce finished gears. Operating expenses amount to $20.1 million in Finland an transferred from Finland. Revenues in the United States are $151 million. If the metal were purchased from one of the company's U.S. forging divisions, the costs would be $ supplier, the cost would be $40.1 million. The marginal income tax rate is 60 percent in Finland and 40 perce What is the company's total tax liability to both jurisdictions for each of the two alternative transfer p Transfer Price 30.1MM 40.1MM Total Tax Liability

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