A Pricing Tactic Is

question 68

Multiple Choice

A pricing tactic is:

• A)a short-term approach to pricing.
• B)a response to a competitive threat.
• C)an approach that can be used with intermediaries or consumers.
• D)a broadly accepted method of calculating a final price for consumers that is short term in nature.
• E)All of the above.

---

Definitions:

Hurdle Rate

The minimum rate of return on a project or investment required by a manager or investor, often used in capital budgeting to measure investment risk.

Compound Interest Table

A table that shows the amount of compound interest that will be accrued on a principal amount over a period of time at various interest rates.

Salvage Value

The expected end-of-life value of an asset after its useful period has ended.

Acceptable Earnings Rate

The minimum rate of return on investment that a company or investor is willing to accept, considering the risk and opportunity cost of the investment.