______formulas calculates total costs per unit and then add markups to cover overhead costs and generate profits.
A) Breakeven
B) Cost-based pricing
C) Skimming pricing
D) Discount

Question

Quizplus · Accepted Answer

Cost-based pricing formulas calculate the total cost per unit and then add markups to cover overhead costs and generate profits. Break-even formulas calculate the minimum amount of sales needed to cover all costs with no profit. Skimming pricing strategies set high initial prices for new products to generate maximum profit before competitors enter the market. Discount strategies reduce the price of a product or service to boost sales.

______Formulas Calculates Total Costs Per Unit and Then Add Markups