Competition-Based Pricing Is

question 12

Multiple Choice

Competition-based pricing is

• A) used when costs and revenues are secondary to competitors' prices.
• B) not useful as a method of increasing market share.
• C) not useful if the competing products are homogeneous.
• D) not able to increase sales.
• E) used when competing products are heterogeneous.

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Definitions:

General Journal

A primary accounting record used to record all types of transactions not specifically assigned to another journal.

Sales Discount

A reduction given by a seller for prompt payment of a credit sale.

Cash Receipts Journal

A specialized accounting journal used to keep track of all cash inflows or receipts from various sources.

Entry

A record in an account that documents a financial transaction in bookkeeping.