A fair price:
A) is the lowest price that ensures a continuous supply of the proper quality where and when needed and at which the supplier makes a reasonable profit.
B) is based on market conditions,and cost structure has no bearing on the determination of a fair price.
C) is based on the cost to produce an item or service without consideration for the supplier's profit margin.
D) is an amount arrived at through negotiations where the seller's price is a starting point.
E) is when all sellers of equal goods or services receive the same per unit price.
Correct Answer:
Verified
Q2: Identical pricing for bids can be discouraged
Q3: Most direct costs are:
A)overhead costs.
B)general and administrative
Q4: If the buyer wants to motivate the
Q5: Items for which prices may be fixed
Q6: Identical prices received from various sources should:
A)be
Q7: The Sherman Antitrust Act states that suppliers:
A)must
Q8: Public purchasers are required to award contracts
Q9: Forward buying:
A)offsets transactions to protect against price
Q10: The market approach to pricing:
A)means prices are
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