Operations

AEO is the abbreviation for Authorized Economic Operator. A program created by the World Customs Organization (OMA) to certify companies and professionals who operate in the customs management of foreign trade as reliable. The certification is voluntary and allows these companies to have special treatment in customs transit all over the countries that join the program and sign cooperation agreements.

A transfer price is the price at which divisions of a company transact with each other, such as the trade of supplies or labor between departments. Transfer prices are used when individual entities of a larger multi-entity firm are treated and measured as separately run entities. A transfer price can also be known as a transfer cost.