Transfer pricing may be a problem for host countries as profits are always removed to the host country. profits may not be accurately recorded as occurring in the host country. as prices are transferred to the local currency losses may occur if exchange takes place on a day when the exchange rate is "low". the cost of exchanging one currency for another is costly in monetary terms and time.

Transfer pricing may be a problem for host countries as profits are always removed to the host country. profits may not be accurately recorded as occurring in the host country. as prices are transferred to the local currency losses may occur if exchange takes place on a day when the exchange rate is "low". the cost of exchanging one currency for another is costly in monetary terms and time.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter6: Managing In The Global Economy

Section: Chapter Questions

Problem 7E

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