The two forms of cost-plus pricing are
A)cost-plus-fixed-fee pricing and cost-plus-variable-fee pricing.
B)cost-plus-ROI pricing and cost-minus-ROI pricing.
C)target return on sales pricing and target return on investment pricing.
D)cost-plus-percentage-of-cost pricing and cost-plus-fixed-fee pricing.
E)dynamic pricing and flexible pricing.

Question

Quizplus · Accepted Answer

Cost-plus pricing generally assumes two forms: (1)cost-plus-percentage-of-cost pricing,in which a fixed percentage is added to the total unit cost,and (2)cost-plus-fixed-fee pricing,in which a supplier is reimbursed for all costs but is allowed only a fixed fee as profit that is independent of the final cost of the project.

The Two Forms of Cost-Plus Pricing Are