Which One of the Following Statements Is Correct Concerning Bid

question 298

Multiple Choice

Which one of the following statements is correct concerning bid prices?

• A) The competitor who wins the bid is the one who submits the highest bid price.
• B) The winning bid may be at a price that is below break-even especially if there is a related aftermarket for the product.
• C) A bid price is computed based on 110% of a firm's normal required return.
• D) A bid price should be computed based solely on the operating cash flows of the proposed project.
• E) A bid price should be computed based on a zero% required rate of return.

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Definitions:

PAIBOC

An acronym for Purpose, Audience, Information, Benefits, Objections, and Context, a framework for planning communication strategies.

Components

The distinct parts or elements that make up a whole system, device, or piece of software.

Need for Affiliation

A person's desire to build and maintain close, warm, and interpersonal relationships.

Approval

The act of accepting or consenting to something, often an idea, plan, or action.