A weakness associated with cost-based pricing methods is that they do not allow for primary pricing. infer a cost-price ratio. do not allow for predatory pricing are structurally inflexible and ignore vertical price fixing alternatives. none of the above.

A weakness associated with cost-based pricing methods is that they do not allow for primary pricing. infer a cost-price ratio. do not allow for predatory pricing are structurally inflexible and ignore vertical price fixing alternatives. none of the above.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter18: Pricing And Profitability Analysis

Section: Chapter Questions

Problem 1DQ: Define price elasticity of demand. Give an example of a product with relatively elastic demand and...

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Concept explainers

Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.

Question

A weakness associated with cost-based pricing methods is that they

do not allow for primary pricing.

infer a cost-price ratio.

do not allow for predatory pricing

are structurally inflexible and ignore vertical price fixing alternatives.

none of the above.

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