A toothbrush that costs ten cents to manufacture may cost a consumer $3.00 to buy. According to critics, this is an example of ________.

Question

Quizplus · Accepted Answer

Excessive markup refers to selling a product at a significantly higher price than its production cost. In this case, the toothbrush has a production cost of ten cents, but it is sold to the consumer for $3.00, which is a markup of 2900%.

A Toothbrush That Costs Ten Cents to Manufacture May Cost