Examlex
A(n) ________ contract is any contract whereby a party contributes money or other consideration in a common enterprise and expects to make a profit from the significant efforts of others.
Cost-Plus Methods
Methods of price setting determined by the cost amount per unit plus a markup based on the desired profit per unit.
Selling Price
The amount of money for which a product or service is sold to customers.
Markup
The amount added to the cost price of goods to cover overhead and profit, determining the selling price.
Total Cost Method
A cost-plus method of price setting in which all the costs of manufacturing the product plus the selling and administrative expenses are included in the cost amount to which the markup is added.
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