When a transfer price decreases: 1. the costs of the division using the intermediate product will fall.
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Question:
When a transfer price decreases:
1. the costs of the division using the intermediate product will fall.
2. the revenues of the division using the intermediate product will rise.
3. the costs of the division making the intermediate product will fall.
4. the profits of the division using the intermediate product will rise.
5. both A&D
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