Management accounting: Discuss the transfer pricing and elaborate on whether the Assembly Centre should buy tires from inside or outside the firm.
PART B: Transfer Pricing and Variances Greta Company produces cars. Two of the profit centers, Tires center and Assembly center, were in conflict over the price of tires. External suppliers of tires offered Carla, the manager of the Assembly center, the same type and quality of tire for $100. Carla used to buy these tires […]