Target Return-On-Investment Pricing Is

question 107

Multiple Choice

Target return-on-investment pricing is:

• A)setting the price of a line of products at a number of different price points.
• B)adding a fixed percentage to the cost of all items in a specific product class.
• C)setting prices to achieve a profit that is a specified percentage of the sales volume.
• D)setting prices to achieve a specified percentage return-on-investment.

---

Definitions:

Cost Concepts

The principles and classifications used to determine the costs of products, services, and activities, enabling businesses to analyze profitability.

Service Companies

Service companies are businesses that provide intangible products or services to consumers or other businesses instead of selling physical goods.

Reimbursable Expenses

Costs that an employee or business incurs on behalf of a client or company, which are expected to be refunded.

Fraudulent

Involves intentional deception to secure unfair or unlawful gain, or to deprive a victim of a legal right.