Summit Has Learned That a Competitor Plans to Introduce a Similar

question 85

Multiple Choice

Summit has learned that a competitor plans to introduce a similar widget at a price of $80. In response, Summit may reduce its selling price to $80. If Summit requires a 25% return on sales, what is the target cost for the new widget?

• A) $80.
• B) $60.
• C) $23.75.
• D) $20.

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Definitions:

Zika Virus

A virus transmitted primarily by Aedes mosquitoes, known to cause birth defects and neurological problems.

Transmission

The act of transferring something from one place, person, or thing to another, including diseases, information, or physical power.

Gonorrhea

A sexually transmitted infection caused by the bacterium Neisseria gonorrhoeae, characterized by genital discharge, pain during urination, and in women, possible pelvic pain.

Watery Discharge

A liquid secretion from the body, particularly from the vagina or eyes, which is thin and clear.