If Demand Is Taken into Account, Firms That Use Cost-Plus

question 255

Multiple Choice

If demand is taken into account, firms that use cost-plus pricing can adjust price by

• A)letting sales fall, but hold the markup constant if demand falls.
• B)lowering markups on price-elastic goods and raising markups on price-inelastic goods.
• C)raising markups on price-elastic goods and lowering markups on price-inelastic goods.
• D)letting sales rise, but hold the markup constant if demand rises.

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Definitions:

Portraiture

The art of creating representations of individuals, capturing their physical appearance and often aspects of their personality or status, through mediums such as painting, sculpture, or photography.

Plateresque Facades

Architectural facades characteristic of the Spanish Renaissance, adorned with intricate, ornamental designs that resemble silverwork (plateresque).

Carved Retable

A decorative element placed above and behind an altar, often intricately carved and used as a backdrop for liturgical objects.

Materialism

A philosophical viewpoint that regards material and physical objects, as well as the physical universe, as the only things that truly matter.