On the Price Sticker Placed on the Window of a New

question 140

Multiple Choice

On the price sticker placed on the window of a new vehicle by the manufacturer,the manufacturer's suggested retail price is listed,followed by a "destination charge" for shipping the vehicle to the dealership.The destination charge is the same everywhere in the country,no matter whether the dealership is close to or far away from the manufacturing plant.This pricing practice is called

• A)F.O.B.pricing.
• B)zone pricing.
• C)uniform delivered pricing.
• D)freight absorption pricing.
• E)None of these is a good answer.

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