Cost-based pricing has traditionally been important because:
A)cost data are available.
B)cost-based prices are defensible.
C)revenues must exceed costs if the firm is to remain in business.
D)of all of the above.

Question

Quizplus · Accepted Answer

Cost-based pricing is important because all three of the given reasons are true. Cost data are easily available and measurable, and cost-based prices are defensible in case of any challenges or legal issues. Moreover, businesses need to ensure that their revenue exceeds their costs to maintain profitability and stay in business in the long run.

Cost-Based Pricing Has Traditionally Been Important Because