Which of the Following Choices Is the Practice of Charging

question 35

Multiple Choice

Which of the following choices is the practice of charging a higher price for the same product or service when demand approaches the physical limit of the capacity to produce that product or service?

• A) Price discrimination
• B) Peak-load pricing
• C) Demand-based pricing
• D) Customer preference pricing

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Definitions:

Alphabetical Order

A method of organizing items based on the sequence of the letters in their names from A to Z.

Largest Dollar Amounts

Refers to the items or transactions within a financial statement or budget that have the highest monetary value.

Accounting Equation

The accounting equation is a foundational principle of accounting, stating that assets equal liabilities plus owner's equity, serving as the basis for double-entry bookkeeping.

Rent for Equipment

The cost incurred for borrowing equipment necessary for the operations of a business or project.