Transfer Pricing May Be a Problem for Host Countries Because

Multiple Choice

Transfer pricing may be a problem for host countries because

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