What Is the General Form of the Cost-Plus Pricing Approach

question 115

Multiple Choice

What is the general form of the cost-plus pricing approach?

• A)Variable cost + Fixed cost + Contribution margin = Prospective selling price
• B)Prospective selling price - Cost base = Mark-up component
• C)Cost base + Mark-up component = Prospective selling price
• D)Cost base + Gross margin = Prospective selling price

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Definitions:

Restriction Enzymes

Proteins used by bacteria to cut DNA at specific sites, widely used in molecular biology for gene cloning.

Bacteria

Single-celled microorganisms that can exist either as independent organisms or as parasites, with some capable of causing diseases.

Viral DNA

The genetic material of a virus encoded in DNA rather than RNA, which the virus inserts into host cells to replicate and produce new viral particles.