In large modern turbochargers, transonic compressors often constitute the main source of noise, with a frequency spectrum typically dominated by tonal noise at the blade passing frequency (BPF) and its harmonics. Inflow BPF noise is mainly generated by rotor locked shock fronts. Outflow noise, while also dominated by BPF tones, is linked to more complex source mechanisms. Its modal structure and the relationships between sources and modal sound pressure levels (SPL) are less well understood, and its numerical analysis is, in general, significantly more complex than for compressor inflows. To shed some light on the outflow acoustic characteristics of radial machines, transient simulations of a 360 deg model of a radial compressor stage, including its vaned diffuser and volute, were carried out. Four increasingly finer grids were used for this purpose. On all grids, numerical damping had detrimental effects on prediction quality. A simple and mathematically sound method is proposed to account for this damping. With it, the global outflow acoustic power level () is predicted to within an accuracy of 2 dB of the experimental result on the finest grid. This shows that satisfactory accuracy can be obtained with state-of-the-art computational fluid dynamics (CFD) codes if care is taken with the simulation setup. The simulations are further validated with experimental data from 17 transient wall pressure sensors.