Difference between revisions of "Transfer price"
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According to [[Cost Accounting by Horngren, Datar, Rajan (14th edition)]], | According to [[Cost Accounting by Horngren, Datar, Rajan (14th edition)]], | ||
:[[Transfer price]]. Price one subunit (department or division) charges for a product or service supplied to another subunit of the same organization. | :[[Transfer price]]. Price one subunit (department or division) charges for a product or service supplied to another subunit of the same organization. | ||
| + | According to the [[Corporate Strategy by Lynch (4th edition)]], | ||
| + | :[[Transfer price]]. The price for which one part of an organization will sell its goods to another part in a multidivisional organization. | ||
| − | [[Category: Marketing Management]][[Category: Articles]][[Category: Accounting]] | + | [[Category: Marketing Management]][[Category: Articles]][[Category: Accounting]][[Category: Strategic Management]] |
Revision as of 09:29, 12 July 2020
Transfer price is the price a company charges another unit in the company for goods it ships to foreign subsidiaries.
Definition
According to Marketing Management by Keller and Kotler (15th edition),
- Transfer price. The price a company charges another unit in the company for goods it ships to foreign subsidiaries.
According to Cost Accounting by Horngren, Datar, Rajan (14th edition),
- Transfer price. Price one subunit (department or division) charges for a product or service supplied to another subunit of the same organization.
According to the Corporate Strategy by Lynch (4th edition),
- Transfer price. The price for which one part of an organization will sell its goods to another part in a multidivisional organization.
