All of the Following Statements About Price Are True Except

question 127

Multiple Choice

All of the following statements about price are true except

• A)small changes in price can have big effects on both the number of units sold and company profit.
• B)the price for a product or service must earn a profit for the company.
• C)the price for most products and services is always the same.
• D)the price must be "right"-in the sense that customers must be willing to pay it.
• E)the price must generate enough sales dollars to pay for the cost of developing, producing, and marketing the product.

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Definitions:

Max Error

The maximum possible error or deviation from the true value or accepted standard.

Confidence

A belief in one's abilities or qualities, often reflecting a sense of self-assurance.

Constant Allowances

Fixed time or budget allocations in a project or production process that account for breaks and disruptions.

Performance Rating

A measure of how well an employee, system, or process meets the defined standards of efficiency or effectiveness.