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Markup Pricing Is a Popular Method of Calculating Price for All

Question 182

Multiple Choice

Markup pricing is a popular method of calculating price for all of the following reasons except


A) costs are easier to calculate than demand
B) costs are more stable over time than demand and are therefore easier to calculate
C) competitive pricing data does not have to be considered since it is not part of the calculation
D) expenses, trade discounts, and markdowns are expressed as functions of sales or unit prices so it makes it easier to relate to the markup used for calculating the selling price

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