When Members of the Marketing Channel Collude to Control the Prices

question 119

Multiple Choice

When members of the marketing channel collude to control the prices passed on to consumers, they are engaging in

• A)loss-leader price fixing.
• B)bait-and-switch price fixing.
• C)horizontal price fixing.
• D)vertical price fixing.
• E)predatory pricing.

---

Definitions:

Contra Account

An account used in the ledger to offset the balance of a related account.

Carrying Amount

The net value of an asset as recorded in the books, which is equal to the asset's original cost minus any accumulated depreciation, amortization, or impairment charges.

Write Off

The reduction of the recognized value of something, often an uncollectable debt or asset.

Accounts Receivable

Amounts due to a company from its customers for goods supplied or services rendered but not yet paid for.