Which of the Following Is NOT an Example of Value-Based

question 103

Multiple Choice

Which of the following is NOT an example of value-based pricing?

• A)a less expensive version of an established brand
• B)re-design of existing brand to offer increased quality at a fair price
• C)lesser value offered at rock-bottom prices
• D)everyday low prices
• E)setting prices based on production costs plus a fair margin

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Definitions:

LIFO

"Last In, First Out," an inventory valuation method where the goods purchased last are the first ones to be used or sold.

Gross Profit

The financial metric representing the difference between sales revenue and the cost of goods sold (COGS), before deducting overhead, payroll, taxes, and interest payments.

Ending Inventory

Merchandise value set for sale at an accounting period's end.

Safeguarding Inventory

Safeguarding inventory involves implementing security measures and inventory management practices to protect goods from theft, damage, or loss.