Many Managers Set Prices by Cost Plus Pricing

question 128

Multiple Choice

Many managers set prices by cost plus pricing.What is cost plus pricing? Assume it is a long run decision.

• A) average cost per unit plus markup per unit
• B) average target cost plus markup per unit
• C) average cost per unit minus markup per unit
• D) average target cost minus markup per unit

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Definitions:

Circumscription

A concept related to career development, where individuals limit their career options based on various constraints such as social norms and personal beliefs.

Compromise

The process of making concessions or finding middle ground in situations where initial career aspirations may not be fully attainable.

Narrowing

The act of reducing the scope or range of options, often in decision-making processes.

Authority Figures

Individuals who hold power or influence, typically in a hierarchical structure, and have a role in enforcing rules or norms.