In Using the Variable Cost Concept of Applying the Cost-Plus

question 25

Multiple Choice

In using the variable cost concept of applying the cost-plus approach to product pricing, what is included in the markup?

• A) Total costs plus desired profit
• B) Desired profit
• C) Total selling and administrative expenses plus desired profit
• D) Total fixed manufacturing costs, total fixed selling and administrative expenses, and desired profit

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Definitions:

Human Relations

An area of management focusing on the interpersonal relationships among employees, aiming to improve job satisfaction, motivation, and productivity.

Human Systems Contingency Model

This model suggests that effective organizational management and design depend on fitting the organization's structure and processes to the conditions or context in which it operates.

Behavioural Approach

The behavioural approach in psychology focuses on observing and analyzing the observable and measurable aspects of behavior and the effects of learning and environment on behavior.

Organizations as Communities

The concept that organizations are social entities that reflect the collective behaviors and values of their members.