Transfer Pricing - 2696 Words

Transfer Pricing An Overview Transfer pricing is a popular topic in management accounting. It is concerned with the price when one department (the selling department) provides goods or services to another department (the buying department). That is, one department generates revenue from the sales of goods or services and the other department incurs expenses from the purchases of goods or services. Transfer pricing is closely related to responsibility accounting in which each department is responsible for its cost, revenue, expense or investment return depending on the type of centre it is. Thus, transfer pricing effectiveness is essential to the success of the overall company. The related key issue is the determination of a transfer†¦show more content†¦Consequently, the determining factor is whether the buying division is willing to pay the market price. If the buying division is willing to do so, the implication is that the buying division can generate incremental profits for the company by purchasing the product from the selling division and either reselling it or using the product in its own production process. On the other hand, if the buying division is unwilling to pay the market price, the implication is that corporate profits are maximized when the selling division sells the product on the external market, even if this leaves the buying division idle. Sometimes, there are cost savings on internal transfers compared with external sales. These savings might arise, for example, because the selling division can avoid a customer credit check and collection efforts, and the buying division might avoid inspection procedures in the receiving department. Market-based transfer pricing continues to align managerial incentives with corporate goals, even in the presence of these cost savings, if appropriate adjustments are made to the transfer price (i.e., the market-based transfer price should be reduced by these cost savings). However, many intermediate products do not have readily-available market prices. Examples are: a pharmaceutical company with a drug under patent protection (an effective monopoly); and an appliance company that makes component parts in the Parts Division and transfers those parts toShow MoreRelatedTransfer Pricing20501 Words   |  83 PagesTransfer Pricing in Developing Countries An Introduction Topics 1. Abstract 2. International tax law its sources 3. Brief history of International Tax Law 4. Who gets the pie? 5. Arm s length principle : Cornerstone of International Tax Law 6. Transfer pricing methods 7. Problems with of source taxation of MNE s 8. Internet e-commerce : Achilles heel of current International taxation regime? 9. Formulary Apportionment (FA) 10. Existing uses of Formulary Apportionment systems in the worldRead MoreThe Us Transfer Pricing Regulations951 Words   |  4 PagesDiscuss the US transfer pricing regulations, including advances pricing agreements, arms length standard, and methods allowed to determine comparable prices. - 60 The US transfer pricing regulations, as outlined in Section 482 of the Internal Revenue Code, are similar to the Organization for Economic Co-operation and Development (OECD) guidelines. They have a commitment to the arm s length principle, as do many other countries worldwide who use it as a basis for bilateral treaties between governmentsRead MoreThe Importance of Transfer Pricing Essays5372 Words   |  22 PagesInternational Transfer Pricing | Country Case: Argentina | | | | International Accounting – ACG6255 Professor Robert McGee Philip Archer | Table of Contents 1. Abstract 2. Transfer Pricing Overview 3. Defining Transfer Prices 4. Arm’s Length Principle 5. Pricing Methods 6.1. Comparable Uncontrolled Price Method (CUP) 6.2. Comparable Uncontrolled Transaction Method 6.3. Resale Price Method (RPM) 6.4. Cost-Plus Pricing Method (CPM) Read MoreGlobalization and Transfer Pricing Essay1882 Words   |  8 PagesMartens 2003). When discussing globalisation, the topic transfer pricing always seem to arise which could be because this multi-nationals trade between themselves and the government also uses transfer pricing. Therefore transfer pricing is used wold wide and could be said to be an important accounting factor which enables the success of a firm due to the fact its set up to induce optimal decision making in decentralized firms. Transfer pricing could be defined when a company trades goods/servicesRead MoreTransfer Pricing Is An Internal Practice2773 Words   |  12 PagesTransfer pricing is an internal practice within an MNE and thus it is insulated against the open market forces of demand and supply. In competitive open markets, the forces of demand and supply would interact to determine the price at which goods and services are transferred. While these forces could have an impact on transfer pricing from a macro perspective, their impact on intra-group pricing can be limited. Larry J. Merville and J. William Perry (1978) identified the various items that affectRead MoreContinuing My Studies and Specializing in Transfer Pricing543 Words   |  2 Pagesof life and encourages to deeply develop the knowledge, in particular in the area of Transfer Pricing. This corresponds with my future objective to be an expert in Transfer Pricing. Nowadays, Transfer Pricing has been the most issue in International Taxation area. The activity of Multinational Enterprises (MNEs) which represents a growing proportion of international trade may significantly lead to Transfer Pricing practice, in particular within intra-group transaction where income can be shiftedRead MoreCase study on birch paper company with regard to transfer pricing.1102 Words   |  5 Pagesabove, Northern should accept the bid from Thompson division as it has the lowest cost if all transfer prices within the company were calculated at costs. Incurring the lowest costs would also enable Birch Paper Company to earn the highest profits possible. 2. As alternatives for sourcing exists, Mr. Kenton should be permitted to choose the alternative that is in Northern divisions own interests. The transfer price policy gives him the right to deal with either insiders or outsiders at his discretionRead MoreTransfer Pricing--Market-Based vs. Cost-Based2656 Words   |  11 PagesIntroduction Transfer pricing is one of the key factors of a management control system, which helps a company to achieve its goals, including profit maximization and tax minimization. There are several methods of setting transfer prices among profit centers within the same organization. Each profit center tries to set transfer prices which maximize their own profit. The buying and selling profit centers’ profits are largely affected by transfer prices. For example, when a high transfer price is chargedRead MoreMANAGEMENT CONTROL SYSTEMS, TRANSFER PRICING, AND MULTINATIONAL CONSIDERATIONS4428 Words   |  18 Pages CHAPTER 22 MANAGEMENT CONTROL SYSTEMS, TRANSFER PRICING, AND MULTINATIONAL CONSIDERATIONS LEARNING OBJECTIVES 1. Describe a management control system and its three key properties 2. Describe the benefits and costs of decentralization 3. Explain transfer prices and four criteria used to evaluate them 4. Calculate transfer prices using three different methods 5. Illustrate how market-based transfer prices promote goal congruence in perfectly competitive markets 6. Avoid makingRead MoreResponsibility Accounting Transfer Pricing - Shuman Automobiles, Inc1577 Words   |  7 PagesResponsibility Accounting Transfer Pricing - Shuman Automobiles, Inc Facts of the Case: 1. Clark Shuman, owner and general manager, plans to retire and relinquished his control over the company 2. Business has been doing good with an emphasis of selling new cars as the principal business of the dealership 3. He created three independent departments, namely new car sales, used car sales, and service department. 4. Salary is dependent on each departments gross profit 5. Upon the take over

To Pimp A Butterfly(2015) by Kendrick Lamar free essay sample

Kendrick Lamar is a rap artist that has made some masterful albums like the famous Good Kid M.A.A.D. City and so far has only really three albums from what I know of. When compared to other rappers like Drake or Eminem, he often stands superior. Falling under the subgenre of Gangster or Western Rap and often talks about some sort of political turmoil or society based with his lyrics which I find is relatively uncommon in any form of music, especially heavy metal. To Pimp A Butterfly its self could be like a metaphor for paying attention to something we dont often notice like, well, a butterfly. Butterfly is generally a metaphor for the world around us in terms of politics, or at least thats how I was told and thought of it. But now for the music its self. The music includes anything from general sampled beats to jazz styled background tunes and even in the track For Free? a short jazz solo. We will write a custom essay sample on To Pimp A Butterfly(2015) by Kendrick Lamar or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page This could possibly be in the spirit of his concept album Good Kid M.A.A.D. City because it shares some of the same themes and ideas from that album including mentioning the M.A.A.D City line at least a couple times throughout the album. In tracks like King Kunta, i, u, These Walls(not to be confused with Dream Theater), and the epic 12 minute song Mortal Man, he seems to touch upon many of these topics like a boss(sorry had to do that) and gives his viewpoint in lyric form. Generally he would think that some things are in need of fixing at least and he even mentions topics like inequallity and racism I believe which I swear needs to be fixed or at least toned down. His lyrical flow also works almost all the time and he also has many other guest stars and even his producer into the mix as well. Mortal Man consists of mostly the conversation between Kendrick and his producer talking about what they think the world is like in their eyes and what they think is wrong but is often done i n society anyways. That plus a very soft almost pianoissemo level possibly more quiet to at least make it not seem like a total drag. Bar none, my favorite track here is King Kunta. I Dont know why its probably just catchy. My least favorite comes right before it I believe being For Free? though its probably due to the lyrics themselves. I gotta say, everyone seems to like this album upon maybe a couple listens. It took me a little while(clearly, because Im very late)but Id have to agree with them here. I give this an 8.9/10. I am the Grim Reaper, signing off.

Opportunity Seeker Essays - Association Of College Honor Societies

Opportunity Seeker Dear Opportunity Seeker, Enclosed is the listings that you requested. According to all the available information and sources within our computer network, the companies listed here have shown a great need for home-based workers such as yourself. All of our listed companies are revised on a regular basis, since some of them may change their needs or requirements. Although we believe our information to be completely reliable. We cannot however, guarantee its complete accuracy and we never stop researching firms in the HOMEWORK INDUSTRY and make every effort to provide the type of programs that you, the homebased worker are seeking. It is now the time for you to read over the listed companies and pick those in the various groups that you wish to contact. We urge that you PLEASE contact each and every company listed, regardless of which group they are in. All that's now required is to send a large business (10) envelope with one (1) 29 cent stamp affixed in the upper right hand corner. You then address this envelope to yourself (SASE) leaving it unsealed, then fold it into another #10 envelope that you will address to each of the companies below. BEFORE sealing the mailing envelope, neatly print or type a short note asking details on their HOMEWORKERS PROGRAM (S). It is requested you DO NOT write long letters since they are not read and are often discarded by mail room personnel, and even if that is not the case, you do not want the companies response to be delayed, simply because your inquiry laid around while someone tried to determine just what you were requesting. Once the listed companies receive your inquiry, they have instructions to send your materials. Please follow directions. If you send anything other than what is called for, you will get little or no response. Be patient, some firms are very large, international in size, some are on a seasonal basis, so it might take a few weeks for some responses to reach you. NOTICE The listed companies have been separated into 3 different groups, based upon the type of work they offer. If you are NOT going to contact all companies listed, be sure to check which particular group is of interest to you, before you write to any companies. The following companies usually have more than one to offer. If so, they will present you with all their opportunities after you contact them. Which offers they send you and in what order they will be sent, depends entirely entirely upon their processing abilities at that time. GROUP 1--COMMISSION CIRCULARS/MAILING LETTERS LBI SYSTEMS, P.O. BOX 3430, JAMAICA, NY 11432 B & L ADVERTISING, P.O. BOX 22609, MINNEAPOLIS, MN 55422 SELMAR BROOKS PUBL, P.O BOX 126D, BROOKLYN, NY 11229 IRENE'S ENT.,P.O. BOX 4552, E; PASO, TX 79914 MC CALLS ENT.,P.O. BOX 514, STEUBENVILLE, OH 43952 JAMES TITUS, 22203 FLINTLOCK, DR.,KATY, TX 77449 WORLD WIDE TRADE SERV.,MEDINA, WA 98039 LEIBIG ENT.,3703 COLD SPRINGS RD., HUNTINGDON, PA 16652 EM ENT.,BOX 1315, FLORENCE, SC 29503 TEA TREE OIL, BOX 18508, SPOKANE, WA 99208 ATLANTIC MAIL, BOX 690, HALLSVILLE, TX 75650 PROFIT, 3731 KANAINA #325, HONOLULU, HI 96815 AMETHYST, BOX 2348, NIAGRA FALLS, NY 14302 GOLDEN RULE, BOX 3975, VENICE, FL 33595 SM PUBLISHING, 20119 RHODA CIR.,CERRITOS, CA 90701 LLYOD ADKINS, 9025 E. CRESCENT AVE. MESA, AZ 85208 VIDEOSCOPE, BOX 20302, ATLANTA, GA 30325 BAKER, 221 W. BLUEFIELD, PHOENIX, AZ 85023 BARGER, PO BOX 61 RT 1, MILROY, PA 17063 MASCOR, 4807 BETHSEDA #344, BETHSEDA, MD 20814 SHOP, 433 DOUGLAS, SAN FRANCISCO, CA 94114 FORTUNE HOUSE, 7507 S. TAMIAMI #215, SARASOTA, FL 34231 LINDCO, 3636 PETERSON, CHICAGO, IL 60659 TATE ENT.,BOX 330, FLINT, TX 75762 MICAH GRAPHICS, BOX 17726,BATON ROGUE, LA 70893 HOOK FAST, BOX 1088-SD, PROVIDENCE, RI 02901 BEN, BOX 69, FRANKLIN, VT 05457 M&H, 1370 CENTER, OREM, UT 84057 B. WITHERSPOON, 53 LANGMEYER AVE., BUFFALO, NY 14215 PUBLISHER, BOX 22, EARLTON, NY 12058 CPC, 407 N. HUNTINGTON, MONTEREY PK, CA 91754 HOME BUSINESS, 1484 IVERSON, ATLANTA, GA 30307 SAVRAN, BOX 815, FLUSHING, NY 11362 R&R, BOX 111733, TACOMA, WA 98411 HARTWICK, BOX 348, PT OXFORD, OR 97465 IMAGES, 2727 PACIFIC #107b,HIGHLAND, CA 92346 JD ENT.,ALAMOSA, CO 81101 PASTEREZ, 6239 W. CHARTER OAK, GLENDALE, AZ 85304 DYNAMIC

How to Redirect Your Mail in Canada at the Post Office

How to Redirect Your Mail in Canada at the Post Office If you are moving, be sure to arrange for your mail to be redirected so you dont miss anything important. These instructions are for having your postal address changed at the post office. You can also use the Change of Address Online Service to have your mail redirected via computer. Should You Redirect Your Mail? In order to continue to receive your mail at a new address, you will need to use Canada Posts in-person or online service to forward your mail. You can use Canada Posts redirect services for both permanent and temporary moves. When making a permanent move, you can choose whether to forward your mail for four months or one year. When making a temporary move, you can choose to  forward for three months with the option to continue on a month-to-month basis thereafter. The following steps apply to both residential and business relocations. Follow These 6 Steps to Redirect Your Mail At least two weeks before your move, go to any ​postal outlet in Canada and complete a Redirection of Mail Service form.  Pay the appropriate fee.  The cost of mail forwarding will vary, depending on whether your new address is within the same province, within Canada or in another country. There also are different rates for residential and business moves.The Redirection of Mail Service form will be sent to the postal supervisor for your old address.Ask for change of address cards.Complete the change of address cards and send them to all your regular correspondents, including your bank, credit card companies  and other companies with which you regularly do business.If you still want your mail redirected after the initial period, go to a postal outlet and renew the service before the redirect period has ended. Pay the current fee. Additional Considerations Note that mail can be redirected to any other address in Canada, in the United States  and to many international addresses. For security reasons, youll need to show two pieces of identification, preferably photo ID.

Obesity Essay Example | Topics and Well Written Essays - 250 words - 5

Obesity - Essay Example A big size of the budget on farm subsidies is spent on crops like wheat, corn, soybeans, rice and cotton. (Edwards). This is how nutritionists link obesity to farm subsidies. The products made from these crops are mostly unhealthy and contribute to the disease. Data from the U.S. National Health and Nutrition Examination Survey shows 35.7% of adults and 17% of children and adolescents are obese. (Ogden) Americans have been battling obesity for a long time. One cause of the disease is eating unhealthy foods. I do not agree that farm subsidies should be blamed for American’s obesity problem. It is true that farm subsidies make food items cheap. However, Americans can choose not to buy these foods. Farm subsidies are not forcing consumers to buy their products. Currently, there are other healthier options in the market. There are Americans who are not obese by choice. If an individual really wanted to overcome obesity, it should not start and stop with just food choices. Also, the fast food industry should be challenged into creating their menu more health-friendly. Fast food is a necessary aspect of American culture because of how busy people are. Despite this, I believe sufficient research on the part of these fast food companies will enable them to create fast food items that are nutritious as well. Lastly, continuous information about the dangers of obesity and its causes should be given to schools and neighborhoods. Media can help with this. I think if people are constantly re minded about obesity they will start eating for their health and not for their

Religion as the Source of Inspiration Research Paper

Religion as the Source of Inspiration - Research Paper Example The organization of groups into identifiable sectors within society has been placed to compose a movement. These have been in the form of cult or religion and other organized groups where ideology is shared and desires fulfilled. Of the organized groups to follow a unified theme, religion has been the most outstanding. Durkheim, Cladis and Cosman (2001) define religion as a set of beliefs that bring individuals together towards acknowledgement of the existence of a supernatural being. These beliefs have aided the development of positive virtues within the society an offer support during the difficult challenges subjected upon societal members. Societies and groups have been identified based on their variable religious affiliations. Other societies have been developed based on the shared belief and practices. In religion, individuals complete variable practices for the satisfaction of the rules within the set trend. Religion has existed within the continents for decades linking the pr actices to the behavioral adaptation of the members. Various religions present different practices and identity. The common example is found in the difference accorded in Christianity and Islam religion that depict varied theories and practices. Religion serves as the basis of articulating unanswered questions to clarify the foundation of existence and the larger society. Despite the variations that have been depicted in variable religious beliefs, religion has served as the sole purpose of presenting unity and the source of unanswered questions to humanity. Religion has been the source of inspiration and answers in society for decades. The belief in the existence of a superior power has instilled discipline in societies satisfying breaking the tension in war and corruption. The idea presented that there is an uttermost power providing security rejuvenates the human desire to belong to a particular setting. However, the religious affiliations existing within the society have been pr esented to hold varied norms. Governments and the rules holding the existence of humanity within the set society have been formed based on the dominant religion. The most dominant religion has been Christianity in America and Europe, while Islam and Buddhism have composed the provision presented in Asia. Without the set of beliefs, the formed governments would be destabilized, and the need to find freedom would be affected. The involvement within the religious setting has brought peace and developed the needed faith to overcome the challenges within the society. The hope presented in eternity has been the most striking with humanity accorded the purpose to live their current lives. All of the religious groups offer the opportunity to develop the idea for continuity. There is the conviction in that which is not visible and the pillar of belief centered on a common figure. Although Islam and Christianity consider the existence of a solitary being, the other world religions have been b ased on the need to have a life after the one within the modern earth. Those that lack the faith to belong to a religion have been considered outcasts with little definition to the life lived in the current society. Religion has been the ability possessed by the social groups to possess the belief in the unseen. Various religions present different meanings to the defining attributes of the supernatural beings. The leading world religions have been based on historical evidence of the creators of the set virtues. The belief in each religion has been presented to be contained in the basis found in their formation. Christianity that is the dominant world religion has been based on the existence

Reading and Comprehension Essay Example for Free

Reading and Comprehension Essay Read 8 Secrets to a Knockout Business Presentation using the SQ3R method. Answer the following questions to assess how well you followed the SQ3R method, and whether it helped. Note: Your grade for the assignment will depend on the quality and honesty of your responses and not on how successful you felt you were. ? What was the main point of the written piece? ? What did each section deal with? ? What questions did you ask yourself as you were reading? ? How can you change your note taking skills for the future? ? What would you do to retain this information for later use? ? How might the SQ3R method help you improve your reading comprehension and retention skills? Gen/105 Week 7: Reading and Comprehension Project 1. The main point of this written piece was to tell the reader what the eight most successful secrets were to delivering a knockout presentation in your business affairs. A lot of people at companies just make boring PowerPoint slides and it has so much irrelevant information that the point of the meeting is masked by a weak presentation. This article shows what to do and how to make a great presentation. 2. Each section of this paper dealt with a new and exciting way to capture the attention of a viewer of your business slides. The writer states to â€Å"dig deep† by adding new information and giving more to the viewer. â€Å"Avoid Info overload† shows that too much information can be detrimental to a project, people can bored and wander off. In the section â€Å"Practice Delivery†, it talks about how to memorized your speech and practice what you are saying. This will avoid mistakes, mishaps and fumbling with words. Also, the writer says to â€Å"forget comedy†, by leaving the humor out the project is more professional and shows that you are serious. By â€Å"pick powerful props† shows your audience that memorable ideas and notions can be obtained by using props, so the audience can remember ideas and thoughts associated with the presentation. Another secret is to â€Å"minimize you†, this means take out information relating to you or the business, because people already know what this information is. It waste space and time, and people can get sidetracked. â€Å"Speak the Language† notes that speaking as you always do will help minimize confusions with acronyms and abbreviated words. Be professional but make sure everyone can understand what is been said. Last but not least, â€Å"simple slides† states that you should use slides in your presentation to highlight important information and key words, don’t let the slides overrun the presentation. 3. The questions that came to mind when I was reading was significant. They dealt with how to maximize information during presentations and how do I apply material that are useful in my projects. I don’t want to use unnecessary information that is irrelevant. I also asked myself if using pictures and props were a good idea. I found out that these two tools are necessary to keep the audience engaged in what you’re talking about. 4. I feel like that I have great note taking skills. I always note key words and phrases. If I have a long or difficult reading I always break it down in paragraphs and take notes on key sentences. I also use an outline format which helps greatly. It is almost like the article written in my own language so I can understand it better. I always use my notes to go over information instead of trying to re-read an entire article to find important facts. 5. I will use notes to retain this information for later use. My notes can be very well written as well as the reading, with the same information available. I always keep notes to look over for extra information and key points. 6. I think the SQ3R method does help my reading and comprehension skills improve. By skimming the article I mentally note key words and phrases. I can see how each paragraphs ends and if there are any vocabulary words noted. Noting questions is helpful as well. Keeping in mind question I would ask about the article will help me find an answer to it within the paper. I believe the method does help a lot especially when it comes to larger papers or article that I need to comprehend.