Rather Than Billing Clients by the Hour, Some Lawyers and Their

question 209

Multiple Choice

Rather than billing clients by the hour, some lawyers and their clients agree on a fixed fee based on expected costs plus an agreed upon level of profit for the law firm. Which pricing approach are they using?

• A)target pricing
• B)cost-plus pricing
• C)customary pricing
• D)experience curve pricing
• E)bundle pricing

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Definitions:

Behavioral

Pertaining to the actions or reactions of a person or animal in response to external or internal stimuli.

Psychodynamic

A psychological perspective that emphasizes the influence of the unconscious mind, internal conflicts, and childhood experiences on behavior.

Existential

Relating to existentialism, a philosophical theory that emphasizes individual freedom, choice, and meaning within an inherently meaningless universe.

Illness Anxiety

A disorder characterized by excessive worry about having a serious illness, despite medical reassurance and lack of diagnostic evidence.