Match Each Item with the Correct Statement Below

question 237

Multiple Choice

Match each item with the correct statement below.
-_____ is the loss of sales of an existing product due to competition from a new product in the same line.

• A)competitive bidding
• B)penetration pricing strategy
• C)list price
• D)trade discount
• E)price flexibility
• F)promotional pricing
• G)loss leader
• H)cannibalization
• I)bundle pricing
• J)odd pricing
• K)transfer price
• L)profit center
• M)skimming pricing strategy
• N)competitive pricing strategy
• O)pricing policy
• P)market price
• Q)noncumulative quantity discount
• R)step out
• S)bot
• T)cash discount

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Definitions:

Assembly Department

A section within a manufacturing facility where components are assembled into finished products.

Direct Labor-Hours

The total hours of labor directly involved in manufacturing or producing goods, often used as a basis for allocating manufacturing overhead to products.

Overhead Applied

The amount of overhead costs allocated to a particular cost object, such as a product, based on predetermined overhead rates.

Machining Department

A specific section within a manufacturing facility where machining operations are performed to produce parts.