Activity-Based Pricing

question 1

Multiple Choice

Activity-based pricing

• A)encourages customers to use as many services as possible that are provided by the seller.
• B)charges customers for each service they use.
• C)allows all customers to pay lower total prices.
• D)reduces the direct costs of offering products for sale.

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Definitions:

Simplify

The process of reducing an expression into its simplest form, making it easier to work with.

Simplify

To make something less complex or complicated, making it easier to understand or solve.

Radical

Refers to the root of a number, with the most common being the square root, though it can refer to cube roots or higher.

Square Root

A number which produces a specified quantity when multiplied by itself.