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Intercompany Inventory Transfer ( Arm's Length vs NON-Arm's Length)
Hello Gurus,
I am trying for my ERP certification and a bit confused with the intercompany concept. Regarding this two types of inventory transfer, I have a few queries.
- I understood that Arm's length try to bucket the profit/loss in the selling entity.
- THe non- Arm's lenght is just to transfer the item at cost between subsidiary.
I am not clear whether we need elimination JE for both the scenario. Please clarify.
Thanks & Regards,
~BN
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