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How do multinational corporations use transfer pricing to their advantage in international finance?
  • a)
    To minimize tax liabilities
  • b)
    To increase currency risk
  • c)
    To facilitate capital controls
  • d)
    To encourage domestic competition
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
How do multinational corporations use transfer pricing to their advant...
Multinational corporations use transfer pricing to their advantage in international finance primarily to minimize tax liabilities. By setting prices for inter-affiliate transactions in a way that reduces taxable profits in high-tax countries and increases profits in low-tax countries, they can lower their overall tax burden.
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How do multinational corporations use transfer pricing to their advantage in international finance?a)To minimize tax liabilitiesb)To increase currency riskc)To facilitate capital controlsd)To encourage domestic competitionCorrect answer is option 'A'. Can you explain this answer?
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How do multinational corporations use transfer pricing to their advantage in international finance?a)To minimize tax liabilitiesb)To increase currency riskc)To facilitate capital controlsd)To encourage domestic competitionCorrect answer is option 'A'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about How do multinational corporations use transfer pricing to their advantage in international finance?a)To minimize tax liabilitiesb)To increase currency riskc)To facilitate capital controlsd)To encourage domestic competitionCorrect answer is option 'A'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for How do multinational corporations use transfer pricing to their advantage in international finance?a)To minimize tax liabilitiesb)To increase currency riskc)To facilitate capital controlsd)To encourage domestic competitionCorrect answer is option 'A'. Can you explain this answer?.
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