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Sir can you please explain in simple terms
What are CUP,RPM,PSM method. ThanksI don’t know why you have asked this – in P4 you cannot possibly be asked what CUP etc. means, and I would have thought that wherever you saw these terms would also have had an explanation.
CUP is simply using an arm’s length price – having the transfer price the same as the price other companies are charging for the same goods.
RPM is effectively the same – taking it from the price list of other companies, less a fixed discount.
I have no idea at all what PSM stands for.They may all be relevant for P6 – I don’t know – but not for P4!
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