If a retailer sells a substantial volume of its product at $2.40 within a reasonable period of time after offering the same item at a $1.85 sale price for two weeks,what will be the result?

Question

Quizplus · Accepted Answer

According to the Competition Act, the ordinary selling price is determined by the volume test, which means the price at which the product has been sold for the greatest volume during a reasonable period of time. In this case, the substantial volume of sales at $2.40 establishes it as the ordinary selling price, and this will be the price that the retailer will need to sell the item at going forward.

If a Retailer Sells a Substantial Volume of Its Product