Implement a transfer pricing system at BMW for inter-divisional sales of automotive parts.

Determine appropriate transfer prices for parts sold between the manufacturing and assembly divisions.

Calculate the impact on divisional and overall company profitability.

Recommend strategies to ensure fair pricing and maintain divisional autonomy.

Prepare a detailed report on the transfer pricing policy and its implications.

Automotive Parts	Selling Division Price ($)	Buying Division Price ($)
Engine Components	$30,000,000	$35,000,000