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Cost-Based Pricing
Formulas that calculate total costs per unit and then add markups to cover overhead costs and generate profits.
Personal Selling
A direct form of marketing that involves a salesperson presenting the benefits of a product directly to a customer in order to make a sale.
Price Fixing
An illegal practice where businesses agree on the prices of their products or services, instead of letting market forces determine them.
Odd Pricing
A pricing strategy that sets prices at figures ending in odd numbers, like $4.99, under the belief that they seem lower to consumers.
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Q71: Which statement BEST describes the following reaction?