Which of the Following Is a Pricing Technique That Is

question 122

Multiple Choice

Which of the following is a pricing technique that is used to evaluate consumer demand by comparing the number of products that must be sold at a variety of prices to cover total cost with estimates of expected sales at the various prices?

• A)Modified breakeven analysis
• B)Cost-plus analysis
• C)Incremental-cost analysis
• D)Segmentation analysis

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Definitions:

Non-Interest-Bearing Note

A promissory note with no interest charged on the principal; repaid at its face value at maturity.

Discount on Note Payable

The difference between the face value of a note payable and its issue price when the note is sold for less than its face value, effectively acting as an interest expense over time.

Interest Expense

Money that an entity has to pay over time for the privilege of borrowing funds.

Liquidity

The measure of a company's or individual's ability to meet short-term obligations without raising external capital, often reflected by the amount of cash or easily convertible assets.