The Ability of a Firm to Charge Different Customers Different

question 62

Multiple Choice

The ability of a firm to charge different customers different prices is called _____:

• A)price ceiling.
• B)price discrimination.
• C)predatory pricing.
• D)price flooring.
• E)basing point pricing.

---

Definitions:

Ending Inventory

The value of goods available for sale at the end of an accounting period, calculated by adding new purchases to beginning inventory and subtracting cost of goods sold.

Balance Sheet

A financial statement that provides a snapshot of a company's assets, liabilities, and equity at a specific point in time.

Bill of Materials

A comprehensive list of materials, components, and instructions required to construct, manufacture, or repair a product or service.

Direct Material

Raw materials that are directly attributed to the production process and are a significant component of the finished product.