All of the Following Are Disadvantages of Using Target Pricing

All of the following are disadvantages of using target pricing to calculate the selling price of products except

A) it is likely to understate the selling price for firms with low capital investments
B) it does not take into consideration the fact that demand may not equal the standard volume
C) it does not take into consideration the fact that a firm may not be able to sell the standard volume that is produced
D) it does not take into consideration the production capacity of the firm and what it can produce in one year