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ACCA December 2020 Pass rates are now available >>

Transfer pricing (cost based approach)

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Transfer pricing (cost based approach)

  • This topic has 3 replies, 2 voices, and was last updated 1 month ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • November 26, 2020 at 2:19 pm #596559
    sahil28
    • Topics: 2
    • Replies: 1
    • ☆

    Hi Team,

    My question to you is, while calculating Transfer price under “cost based approach”. If we are told to use Opportunity Cost then we take Marginal cost + Opportunity cost right ??? However what about FIXED COST ??

    Will we take Fixed Cost under ” Full Cost” method Only??

    Thank you in advance
    We are so grateful to Opentuition.

    November 26, 2020 at 3:26 pm #596576
    John Moffat
    Keymaster
    • Topics: 56
    • Replies: 41540
    • ☆☆☆☆☆

    Fixed costs are only relevant if the question says to take a ‘full cost plus’ approach.

    Have you watched my free lectures on transfer pricing? The lectures are a complete free course for Paper PM and cover everything needed to be able to pass the exam well.

    November 26, 2020 at 6:05 pm #596598
    sahil28
    • Topics: 2
    • Replies: 1
    • ☆

    Hey,

    Thank you so much for the speedy reply. I will take your lectures if needed.

    November 27, 2020 at 8:57 am #596638
    John Moffat
    Keymaster
    • Topics: 56
    • Replies: 41540
    • ☆☆☆☆☆

    You are welcome 🙂

  • Author
    Posts
Viewing 4 posts - 1 through 4 (of 4 total)
  • The topic ‘Transfer pricing (cost based approach)’ is closed to new replies.

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