Which of the Following Conditions Is Not Required for Price

question 37

Multiple Choice

Which of the following conditions is not required for price discrimination?

• A) Buyers with different elasticities must be physically separate from each other.
• B) The good or service cannot be profitably resold by original buyers.
• C) The seller must be able to segment the market, that is, to distinguish buyers with different elasticities of demand.
• D) The seller must possess some degree of monopoly power.

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Definitions:

Fermenting Department

The section within a brewery or winery responsible for the fermentation process where sugars are converted into alcohol.

Equivalent Units

A concept used in process costing that converts partially completed units into a number of equivalent full units.

Materials

The raw inputs used in the production of goods, often categorized into direct materials that can be directly traced to the final product and indirect materials used in the production process but not directly identifiable with specific units or batches of production.

Equivalent Units

A concept in cost accounting used to allocate costs to units of production in processes where the units are not yet complete, converting them into the amount of finished goods units.