Which of the Following Statements Concerning Reference Prices Is FALSE

question 224

Multiple Choice

Which of the following statements concerning reference prices is FALSE?

• A)A reference price is the price consumers expect to pay for an item.
• B)Retailers sometimes want consumers to use the manufacturer's list price as the reference price even though their actual retail selling price is lower.
• C)Different customers may have different reference prices for the same type of purchase.
• D)Leader pricing is normally used with products for which consumers do not have a specific reference price.

---

Definitions:

Exercise

Physical activity that is planned, structured, and repetitive, intended to improve or maintain physical fitness.

Smoking

The act of inhaling and exhaling the smoke of burning tobacco in cigars, cigarettes, or pipes.

R-Squared Value

A numerical indicator showing the ratio of variation in a dependent variable accounted for by one or more independent variables within a regression analysis.

Data Points

Individual units of data that represent a single observation within a larger dataset, essential for analysis and interpretation.