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Determine an appropriate transfer price for Intel Corporation's semiconductor division when selling microchips to its computer hardware division. Consider market price of $500 per unit,
Determine an appropriate transfer price for Intel Corporation's semiconductor division when selling microchips to its computer hardware division. Consider market price of $500 per unit, cost-based pricing of $400 per unit, and negotiation-based pricing resulting in a final price of $450 per unit. Discuss the advantages and disadvantages of each method.
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