Negotiation Is Typically Used When

question 48

Multiple Choice

Negotiation is typically used when:

• A)Price is the most important factor.
• B)There are many equally qualified suppliers who are willing to compete.
• C)Early supplier involvement is needed in new product development.
• D)There are standard product specifications that are clear and complete.

---

Definitions:

Marginal Cost

The additional cost incurred by producing one more unit of a product or service.

Dispose of Cars

The process of disposing or getting rid of cars that are no longer wanted, which can include selling, recycling, or scrapping them.

Average Variable Costs

The total variable costs (costs that change with production volume) divided by the total output.

Repairs

The process of fixing or restoring something that is broken or damaged to bring it back to a good condition.