Which One of the Following Statements Is Correct About Prices

question 17

Multiple Choice

Which one of the following statements is correct about prices for inventory service activities that are set up for time and billing -

• A) activities may be charged at a flat fee or on the basis of time
• B) prices are based on the unit prices on the pricing tab screen if the service is non-billable
• C) prices are based on time for regular customers and on a flat fee for preferred price customers
• D) prices must be based on a unit of time if the activity is billable

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Definitions:

Price/Earnings

A ratio used to value a company by dividing its current share price by its per-share earnings, indicating the dollar amount an investor can expect to invest in a company in order to receive one dollar of that company’s earnings.

Dividend Yield

An economic indicator that highlights the yearly amount a company distributes in dividends in comparison to its stock price.

Inventory Turnover

A financial metric that measures the rate at which a company sells and replaces its stock of goods over a period, indicating efficiency in sales and inventory management.