Business, 20.03.2020 00:52 jblac

Suppose General Motors charges its Mexican subsidiary $1 million for auto assembly equipment that could be purchased on the open market for $800,000. This practice is BEST referred to as:

Answers: 3

Show answers

Answers

Answer from: chrisholmes176

Transfer pricing

Explanation:

Goods and services move from one unit to another in the same country, it can also move from one country to another. Transfer pricing is used by companies or units that are usually related, to change the prices of goods and services as they move into such units or countries.

Transfer pricing is a strategy used by these companies to gain tax benefits internationally.

For example, General Motors charges a high price for sales of auto assembly equipment for its Mexican subsidiary. This high price will lead to a lower profit for the Mexican subsidiary which would result in a lower tax.

General Motors is using transfer pricing to alter the tax they pay in Mexico by increasing the price of the products in Mexico.

Answer from: Quest

answer; i believe the correct answer is (form utility); good luck

Answer from: Quest

My first question is what benefits do you expect to achieve from career exploration? the benefits that i expect to achieve from career exploration. for me i think the benefits of exploring many different careers are that you get exposed to more, so it's easier for you to pick which one you like best. another benefit is that you get a more first hand view of what jobs are more likely to be needed in the future and that can be factored into your consideration. my second question is what do you expect to be the most challenging parts of your career planning process? why? the most challenging parts of my career planning process is trying to get things in order and trying to write this paragraph it is confusing and, hard work. and last but not least my third question is i think the most challenging part is taking the first step and really deciding on a career you want to pursue; there are so many options and it can be hard to choose.which jobs will allow me to make a living? ; what skills does emergency medical technician emergency medical services medical » physiology require?

Other questions on the subject: Business

Business, 21.06.2019 21:30, cesar566

In its 2016 annual report, caterpillar inc. reported the following (in millions): 2016 2015 sales $38,537 $47,011 cost of goods sold 28,309 33,546 as a percentage of sales, did caterpillar's gross profit increase or decrease during 2016? select one: a. gross profit increased from 26.8% to 28.6% b. gross profit decreased from 28.6% to 26.5% c. gross profit increased from 71.4% to 73.2% d. gross profit decreased from 73.2% to 71.4% e. there is not enough information to answer the question.

Answers: 2

continue

Business, 22.06.2019 02:50, isbella29

Wren pork company uses the value basis of allocating joint costs in its production of pork products. relevant information for the current period follows: product pounds price/lb. loin chops 3,000 $ 5.00 ground 10,000 2.00 ribs 4,000 4.75 bacon 6,000 3.50 the total joint cost for the current period was $43,000. how much of this cost should wren pork allocate to loin chops?

Answers: 1

continue

Business, 22.06.2019 11:30, khynia11

Given the following information about the closed economy of brittania, what is the level of investment spending and private savings, and what is the budget balance? assume there are no government transfers. gdp=$1180.00 million =$510.00 million =$380.00 million =$280.00 million

Answers: 3

continue

Business, 22.06.2019 18:00, firesoccer53881

If you would like to ask a question you will have to spend some points

Answers: 1

continue

You know the right answer?

Suppose General Motors charges its Mexican subsidiary $1 million for auto assembly equipment that co...