Adding a fixed percentage to the cost of all items in a specific product class is referred to as
A) target profit pricing.
B) standard markup pricing.
C) target return-on-investment pricing.
D) customary pricing.
E) everyday low pricing.

Question

Quizplus · Accepted Answer

Standard markup pricing is a pricing strategy in which a fixed percentage is added to the cost of all items in a specific product class. This markup is typically used to cover the costs of overhead and profit.

Adding a Fixed Percentage to the Cost of All Items