What Is the Definition of Target Costing

question 50

Multiple Choice

What is the definition of target costing?

• A)Target costing is a method of determining the cost of a product or service based on the price that customers are willing to pay.
• B)The cost is calculated by subtracting the desired profit from the target price.
• C)Target costing is an interactive process.
• D)Target costing is cost driven.

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Definitions:

Social Significance

The impact or importance of an action, phenomenon, or aspect of society in influencing cultural, societal, or community values and norms.

Sales Managers

Sales personnel who have oversight of selling efforts at varying levels of the organizational hierarchy.

CPM

Short for Cost Per Thousand, a marketing term that refers to the price of 1,000 advertisement impressions on one webpage.

Organizational Marketing

It refers to the marketing strategies and efforts aimed at promoting and selling products or services to other organizations, businesses, or institutions rather than individual consumers.