The Formula to Determine Target Cost Is as Follows

question 82

Multiple Choice

The formula to determine target cost is as follows:

• A) Target cost = Price - Required profit margin
• B) Target cost = Price - Direct costs
• C) Target cost = Price - Required ROI
• D) Target cost = Price - Indirect costs

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Definitions:

Physiological Process

a biological function or activity in living organisms that is necessary for maintaining life, such as breathing, digestion, or nerve function.

Color Blindness

A visual impairment where one is unable to distinguish certain shades of color due to deficiency in the eyes' color-detecting molecules.

Shades

Variations or different tones of colors, often used to describe subtle differences in color.

Distinguish

To recognize or treat (someone or something) as different, or to identify the distinct characteristics that set someone or something apart.