Importer ABC company wishes to purchase trademarked watches from seller XYZ Limited. The price of the watches is $200 each. XYZ will not sell unless ABC pays them an additional fee of $10 per watch for the right to the trademark. This fee is:
A. A selling commission to be added to the PAPP
B. A buying commission to be deducted from the PAPP
C. A proceed of sale to be added to the PAPP
D. A royalty to be added to the PAPP
E. An unquantifiable addition to the PAPP, which precludes the establishment of Transaction Value
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The Answer is : D
Citation: 19CFR?? 152.103(b)
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