Factors That Can Affect Pricing Decisions Include All of the Following

question 45

Multiple Choice

Factors that can affect pricing decisions include all of the following except

• A) cost considerations.
• B) environment.
• C) pricing objectives.
• D) All of these are factors.

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Definitions:

MC (Marginal Cost)

Expenses incurred from making one more unit of a product or service.

Break-Even

The point at which total costs and total revenue are equal, meaning there is no net loss or gain, and the business or investment is self-sustaining.

Maximize Profits

A strategy or goal where a firm or individual seeks to achieve the highest possible profit from its operations.

Peak Efficiency

The state of operation in which a system or process achieves its maximum output with the lowest input, often ideal in terms of productivity.