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A Canadian Company Has Subsidiaries in France, England, Canada, and in the USA.The

Question 102

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A Canadian company has subsidiaries in France, England, Canada, and in the USA.The company is somewhat vertically-integrated in that the Canadian subsidiary sells some of its output to the USA subsidiary which further processes the material.If the market is fully-competitive, which price is best for goal congruence?


A) market-based price
B) full cost no markup
C) negotiated price
D) distress price
E) either market-based or full cost

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