A practical approach that is frequently used by managers when setting normal selling price is the:
A) cost-plus approach.
B) economic theory approach.
C) price graph approach.
D) market price approach.

Question

Quizplus · Accepted Answer

The cost-plus approach is often used by managers as it takes into consideration the total cost of producing the product or service and adds a markup to determine the selling price. This allows for the business to ensure they are covering their costs and making a profit.

A Practical Approach That Is Frequently Used by Managers When