Regarding Pricing Objectives,a Good Marketing Manager Knows That

question 95

Multiple Choice

Regarding pricing objectives,a good marketing manager knows that

• A)sales-oriented objectives usually lead to high profits.
• B)target return objectives usually lead to a large profit.
• C)status quo pricing objectives can be part of an extremely aggressive marketing strategy.
• D)profit maximization objectives always lead to high prices.
• E)None of these answers is correct.

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Definitions:

Selling Price

The amount of money for which a product or service is sold to customers, which may include discounts, promotions, or variable pricing strategies.

Conservatism

An accounting principle that requires potentially uncertain expenses and liabilities to be recognized promptly, but revenues only when they are assured.

Accounting Principle

Fundamental guidelines or rules that govern financial accounting practices.

Cost Or Market

An accounting method used to value inventory or securities at the lower of either its original cost or its market value as of the reporting date.