A transfer price is the:

A. price for which a company sells its products to customers.

B. price at which goods are moved from one department of a company to another department of the company.

C. basis on which indirect expenses are allocated.

D. price at which a company purchases its products from a supplier.

Im leaning on the answer D, but can I get someone to clarify and see if it looks right?

Since this is not my area of expertise, I searched Google under the key words "transfer price" to get these possible sources:

http://www.google.com/search?client=safari&rls=en&q=transfer+price&ie=UTF-8&oe=UTF-8

In the future, you can find the information you desire more quickly, if you use appropriate key words to do your own search. Also see http://hanlib.sou.edu/searchtools/.

To determine the correct answer, let's break down each option:

A. Price for which a company sells its products to customers: This refers to the selling price of a product to external customers, not the internal operations of a company.

B. Price at which goods are moved from one department of a company to another department of the company: This option is referring to the transfer of goods or services between different departments within the same company.

C. Basis on which indirect expenses are allocated: This option is referring to the method used to allocate indirect expenses, such as overhead costs, across different departments or products within a company.

D. Price at which a company purchases its products from a supplier: This option refers to the price at which a company buys its products from external suppliers.

Based on the given options, the correct answer for what a transfer price is would be B. It represents the price at which goods or services are transferred or moved from one department to another department within a company.

If you are still uncertain or have further questions, I recommend referring to relevant resources such as textbooks, company policies, or consulting with someone knowledgeable in the field of accounting or internal operations.