ACC560

1. Answer: I think the critical challenges for Mr. Burns is to find a good solution to setting the proper transfer price so that Wall Decor can generate the highest rate of return possible, and the transfer price to each store can be reasonable according to each store’s external market conditions. That is, Mr. Burns must bring change to the company’s transfer prices and keep both the business units, Greeting stores and Wall Decor, focused on the success of the overall company. On the o...