An External Issue to Be Considered When Setting a Price

question 38

Multiple Choice

An external issue to be considered when setting a price is

• A)the quality of materials and labor.
• B)total demand for the product or service.
• C)usage of scarce resources.
• D)the variable costs of the product or service.

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Definitions:

Analysis of Variance

A collection of statistical models used to compare the means of three or more samples.

Level of Significance

A threshold used in hypothesis testing that determines the probability of rejecting a null hypothesis when it is actually true.

Useful Life

The estimated period that an asset is expected to be usable for its intended purpose.

Randomized Block Design

An experimental design employing blocking.