Which of the following is a method of transfer pricing considered when the supply division is a monopoly producer?

Read Online (Free) relies on page scans, which are not currently available to screen readers. To access this article, please contact JSTOR User Support . We'll provide a PDF copy for your screen reader.

With a personal account, you can read up to 100 articles each month for free.

Get Started

Already have an account? Log in

Monthly Plan

  • Access everything in the JPASS collection
  • Read the full-text of every article
  • Download up to 10 article PDFs to save and keep
$19.50/month

Yearly Plan

  • Access everything in the JPASS collection
  • Read the full-text of every article
  • Download up to 120 article PDFs to save and keep
$199/year

Log in through your institution

Purchase a PDF

Purchase this article for $14.00 USD.

How does it work?

  1. Select the purchase option.
  2. Check out using a credit card or bank account with PayPal.
  3. Read your article online and download the PDF from your email or your account.

journal article

On the Economics of Transfer Pricing

The Journal of Business

Vol. 29, No. 3 (Jul., 1956)

, pp. 172-184 (13 pages)

Published By: The University of Chicago Press

https://www.jstor.org/stable/2350664

Read and download

Log in through your school or library

Alternate access options

For independent researchers

Read Online

Read 100 articles/month free

Subscribe to JPASS

Unlimited reading + 10 downloads

Purchase article

$14.00 - Download now and later

Journal Information

The Journal of Business ceased publication with the November 2006 issue (Volume 79, Number 6). Founded in 1928, The Journal of Business was the first scholarly journal to focus on business-related research and played a pioneering role in fostering serious academic research about business. However, in appreciation of the increasing specialization in business scholarship, as reflected in the emergence of many specialized business journals, the faculty of the University of Chicago's Graduate School of Business decided after careful deliberation and extensive dialogue to cease publication of the more broadly focused Journal at the end of 2006, after nearly eight decades of publication by the University of Chicago Press. 

Publisher Information

Since its origins in 1890 as one of the three main divisions of the University of Chicago, The University of Chicago Press has embraced as its mission the obligation to disseminate scholarship of the highest standard and to publish serious works that promote education, foster public understanding, and enrich cultural life. Today, the Journals Division publishes more than 70 journals and hardcover serials, in a wide range of academic disciplines, including the social sciences, the humanities, education, the biological and medical sciences, and the physical sciences.

Rights & Usage

This item is part of a JSTOR Collection.
For terms and use, please refer to our Terms and Conditions
The Journal of Business © 1956 The University of Chicago Press
Request Permissions

Monthly Plan

  • Access everything in the JPASS collection
  • Read the full-text of every article
  • Download up to 10 article PDFs to save and keep
$19.50/month

Yearly Plan

  • Access everything in the JPASS collection
  • Read the full-text of every article
  • Download up to 120 article PDFs to save and keep
$199/year

Log in through your institution

journal article

Transfer Pricing-A Synthesis

The Accounting Review

Vol. 49, No. 1 (Jan., 1974)

, pp. 8-23 (16 pages)

Published By: American Accounting Association

https://www.jstor.org/stable/244794

Read and download

Log in through your school or library

Subscribe to JPASS

Unlimited reading + 10 downloads

Journal Information

The Accounting Review is the premier journal for publishing articles reporting the results of accounting research and explaining and illustrating related research methodology. The scope of acceptable articles embraces any research methodology and any accounting-related subject. The primary criterion for publication in The Accounting Review is the significance of the contribution an article makes to the literature.

Publisher Information

The American Accounting Association is the world's largest association of accounting and business educators, researchers, and interested practitioners. A worldwide organization, the AAA promotes education, research, service, and interaction between education and practice. Formed in 1916 as the American Association of University Instructors in Accounting, the association began publishing the first of its ten journals, The Accounting Review, in 1925. Ten years later, in 1935, the association changed its name to become the American Accounting Association. The AAA now extends far beyond accounting, with 14 Sections addressing such issues as Information Systems, Artificial Intelligence/Expert Systems, Public Interest, Auditing, taxation (the American Taxation Association is a Section of the AAA), International Accounting, and Teaching and Curriculum. About 30% of AAA members live and work outside the United States.

Rights & Usage

This item is part of a JSTOR Collection.
For terms and use, please refer to our Terms and Conditions
The Accounting Review © 1974 American Accounting Association
Request Permissions

Which method of transfer pricing considered when the supply division is a monopoly producer?

Opportunity Cost Such pricing may also be required where the supplier division is a monopoly producer or the user division is a monopoly consumer. The transfer price may be fixed at a level which equal the opportunity cost of the supplier division and the user division.

Which of the following is are the methods of transfer pricing?

In practice, the TNMM is the most used of all five transfer pricing methods, followed by the CUP method and Profit Split method. Cost Plus Method and Resale Margin Method are barely used.

Which method of transfer pricing is used if both the division are free to deal either with each other or in the external market?

Thus dual pricing-system has the function of motivating both the selling division and buying division to make decisions that are consistent with the overall goals of decentralisation—goal congruence, accurate performance measurement, autonomy, adequate motivation to divisional manager.

What are the three types of transfer pricing?

Generally, companies can determine transfer prices three different ways: market-based transfer prices, cost- based transfer prices, and negotiated transfer prices.