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Transfer pricing is an important topic from multiple perspectives. It is a global issue affecting taxation, financial results, performance evaluations, and managerial motivation. Ratios are based on the underlying financial information. Transfer pricing is a topic in itself, but it also affects popular financial measures such as EVA (economic value added).

References:

Hiemann, M. and Reichelstein, R. The Dual Role of Transfer Prices in Multinational Firms: Divisional Performance Measurement and Tax Optimization. The European Financial Review. http://www.europeanfinancialreview.com/?p=5741

PWC. (2012). Transfer Pricing. Retrieved from http://www.pwc.com/gx/en/tax/transfer-pricing

Slideshare. (2011). Global Management Accounting. Retrieved from http://www.slideshare.net/costmgmt/issues-in-global-management-accounting-transfer-pricing

Value Based Management.net. (n.d.). Economic Value Added (EVA). Retrieved from http://www.valuebasedmanagement.net/methods_eva.html

Required: 

In this module, we’ll emphasize transfer pricing issues and responsibility centers. Comment on the importance of these issues, how they are related, and why they are very important in the business environment. 

Above find some resources for some of these topics that you can use as a starting point. The links are not meant to provide any particular viewpoint but are a mix of resources viewed both from an accounting and a business perspective. 

Choose one or two topics for further investigation and share your knowledge with the class. Provide factual information (not merely opinions) backed up by current news, examples, or other interesting details. Your comments should be in your own words and include references in APA format, if applicable.

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