If a Corporation Operates Two Divisions That Supply One Another,and

Multiple Choice

If a corporation operates two divisions that supply one another,and each division is located in a different country,then transfer prices are:

A) set to allocate profit to the low tax rate country.
B) set to allocate all costs to the low tax rate country.
C) set to allocate profit to the high tax rate country.
D) not allowed between most countries.