Match Each of the Following Costs with the Graph (A-E)

question 45

Short Answer

Match each of the following costs with the graph (a-e) that best portrays its cost behavior as the number of units produced and sold increases.
-Per-unit cost of direct labor
A)Graph 1
B)Graph 2
C)Graph 3
D)Graph 4
E)Graph 5

• A)Graph 1
• B)Graph 2
• C)Graph 3
• D)Graph 4
• E)Graph 5

---

Definitions:

Prestige Pricing

A pricing strategy where goods are priced higher to evoke a sense of luxury or quality, making them desirable due to their cost.

Cost-Oriented Pricing

A pricing strategy where the price of a product or service is determined based on the cost of production plus a markup.

Below-Market Pricing

A pricing strategy where goods or services are offered at prices lower than the typical market value.

Loss-Leader Pricing

A pricing strategy where a product is sold at a price below its market cost to stimulate other profitable sales.