Which of the Following Is NOT a Characteristic of Cost-Of-Service

question 41

Multiple Choice

Which of the following is NOT a characteristic of cost-of-service pricing?

• A)​Prices are established based on fixed and variable costs of transportation
• B)​Prices vary based on volume and distance
• C)​Prices tend to rise as shipping distance increases
• D)​Carriers price their services at the highest levels the markets will bear

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Definitions:

Real Estate

Property consisting of land and the buildings on it, along with its natural resources, generally classified as residential, commercial, or industrial properties.

Desirable Neighborhoods

Areas that are highly sought after by homebuyers and renters due to factors like safety, amenities, good schools, and proximity to employment opportunities.

Conspicuous Consumption

The purchase and use of goods and services to publicly display wealth rather than to meet basic needs.

Thorstein Veblen

An American economist and sociologist best known for his theory of the leisure class and criticisms of capitalism.