An intermediary seeking high profits should
A)use the lowest markup that will still cover selling expenses.
B)use price lining.
C)use high markups.
D)choose the markup that maximizes turnover.
E)try to find the markup level related to the most profitable price.

Question

Quizplus · Accepted Answer

A high markup may result in a price that's too high-a price at which few customers will buy.You can't earn much if you don't sell much,no matter how high your markup on a single item.So high markups may lead to low profits.Instead,try to find the markup level related to the most profitable price.

An Intermediary Seeking High Profits Should