Which of the Following Is Not a Component of the Master

question 108

Multiple Choice

Which of the following is not a component of the master budget?

• A)Manufacturing overhead budget
• B)Gross profit budget
• C)Ending inventory and cost of goods sold budget
• D)Production budget

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Definitions:

Target-Return Pricing

A pricing strategy where the price is set to achieve a targeted return on investment or profit over costs.

Cost-Plus Pricing

A pricing strategy where the selling price is determined by adding a specific markup to a product's unit cost, ensuring a profit margin is achieved.

Penetration Pricing

A pricing strategy where a product is offered at a low price to gain market share quickly.

Psychological Pricing

A marketing strategy that utilizes price points believed to have a psychological impact, encouraging purchases.