transfer pricing

Definition

The price that is assumed to have been charged by one part of a company for products and services it provides to another part of the same company, in order to calculate each division's profit and loss separately.

Use transfer pricing in a sentence

You should try and find a way to make transfer pricing work for you and get the most out of it.

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You need to know how much a transfer pricing will be and try to get the best deal you can on it.

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We weere in charge of figuring out everything about transfer pricing and we were okay with it because we knew how to keep track of everything.

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1120-IC-DISC Form Schedule P arm's length transaction