The method of adding a markup cost on top of the fully allocated average cost is known as
A) transfer pricing.
B) cost-plus pricing.
C) predatory pricing.
D) dumping.

Question

Quizplus · Accepted Answer

Cost-plus pricing involves adding a markup to the cost of goods to ensure a profit margin. It's a common pricing strategy where the selling price is determined by adding a specific markup to a product's unit cost.

The Method of Adding a Markup Cost on Top of the Fully