Prices Tend to End in

question 81

Multiple Choice

Prices tend to end in .99 mainly because this price

• A) is the MSRPs suggestion.
• B) is mandated by the MSRP.
• C) enhances perception of product quality.
• D) is perceived by consumers to be cheaper.
• E) is the default by retail managers.

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Definitions:

Marginal Cost

The change in total cost that arises when the quantity produced is incremented by one unit, essentially the cost of producing one additional unit of a good.

Global Warming

The long-term rise in Earth's average surface temperature due to human activities, particularly the emission of greenhouse gases, leading to climate change.

Marginal Benefit

The boost in value or pleasure gained from the consumption of one more unit of a good or service.

Supply and Demand

Fundamental economic principles that describe how prices are determined in a market based on the quantity of a good or service available and desired.