Asked by Dahmineek Taylor on May 26, 2024
Verified
Cost-plus pricing formulas can only be used with full cost models.
Cost-Plus Pricing
A technique for pricing where a distinct markup is added to the unit cost of a product to establish its selling price.
- Identify the diverse pricing approaches, like markup pricing and price skimming, and their implementation.
Verified Answer
SM
samridhi maheshwariMay 27, 2024
Final Answer :
False
Explanation :
Cost-plus pricing can be applied using either full cost (which includes fixed and variable costs) or variable cost models, not exclusively full cost models.
Learning Objectives
- Identify the diverse pricing approaches, like markup pricing and price skimming, and their implementation.