Which of the Following Is Not True When Determining the Selling

question 18

Multiple Choice

Which of the following is not true when determining the selling price for a product?

• A) Absorption costing should be used to determine routine pricing which includes both fixed and variable costs.
• B) As long as the selling price is set above the variable costs,the company will make a profit in short run.
• C) Variable costing is effective when determining short run decisions,but absorption costing is only used for long-term pricing policies.
• D) Both variable and absorption pricing plans should be considered,to include several pricing alternatives.

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Definitions:

Genetic Predisposition

An inherited genetic pattern that increases the likelihood of developing a particular disease or disorder.

Socioeconomic Status

A measure of an individual's or family's economic and social position relative to others, based on income, education, and occupation.

Retrograde Amnesia

The loss of pre-existing memories to varying degrees, typically due to an injury or onset of a disease, leaving the individual unable to recall past events.

Organic Causes

Physical or biological factors that lead to medical conditions or diseases, as opposed to psychological or social factors.