Which of the Following Is Not a Way by Which

question 167

Multiple Choice

Which of the following is not a way by which price-discriminating firms can segment a market?

• A) on the basis of time of purchase, for example long-distance calling
• B) by requiring an advance purchase, for example air tickets
• C) on basis of the buyer's location, for example requiring out-of-state students to pay higher tuition
• D) on the basis of the supplier's marginal cost of production, for example requiring customers to pay a premium for customising options

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Definitions:

Raw Material

Basic substances in their natural, modified, or semi-processed state, used as inputs for a production process to create goods or services.

Work in Process

This refers to the inventory of items being produced but not yet completed, often seen in various stages of production.

Property, Plant, and Equipment

Long-term tangible assets used in the operation of a business and not intended for resale, including buildings, machinery, and equipment.

Fixed Manufacturing Overhead

Costs associated with production that do not change with the level of output, such as rent, salaries, and utilities.