Will item cost average out in Internal Drop Ship flow based on Transfer Price in selling org?

Summary:

We have two Inventory org in different profit center BU. (Ex: BU1-Org1 & BU2-Org2). We are following Perpetual Average Cost Method.

In Internal drop flow, Sales order booked in BU2 & Warehouse is Org1 and Shipment will happen from org1.

Will the item cost in Org2 will get average out based on the transfer price (Itemcost @Org1+Markup) ?

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24C

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