Companies have to determine whether the benefits of relocating internationally outweigh the potential losses. One of the factors to consider when determining whether or not to relocate internationally are tax-related situations. This time I need help discussing the ramifications of using transfer pricing and how it relates to entering a global market. 6p.g.

• I'm struggling to understand - What is transfer pricing? Why is transfer pricing important to the Internal Revenue Service (IRS)?
• I am having trouble understanding - Why does a company use transfer pricing? Name 1 benefit as well as 1 drawback to transfer pricing.
• I need to better explain - How does transfer pricing affect an employee? Does transfer pricing have an effect on international expansion decisions?
• I've not been able to grasp - What are the financial reporting and tax planning implications of transfer pricing? Is it ethical for a company to utilize transfer pricing to its benefit?
• I will need to - Research an organization that currently uses or has used transfer pricing and why you think it chose to do so.