One Method of Setting Price Using the Cost-Plus Method Is

question 48

Multiple Choice

One method of setting price using the cost-plus method is to add

• A)a given percentage of marginal cost to marginal cost of production.
• B)a given percentage of fixed cost to total fixed cost.
• C)a given percentage of average total cost to average total cost.
• D)a given percentage of average variable cost to average total cost.

---

Definitions:

Circumstantial

Depending on specific conditions or circumstances rather than being absolute or inherent; context-dependent.

Network

A structured arrangement of nodes (which can be individuals, organizations, or computers) connected by links which facilitate the exchange of information or resources.

Social Group

A group of people who communicate with each other, possess common traits, and together feel a sense of belonging or identity.

Negotiating

The process of discussing something with someone in order to reach an agreement or compromise.