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One Disadvantage of Average-Cost Pricing Is That

Question 105

Multiple Choice

One disadvantage of average-cost pricing is that


A) average-cost pricing does not consider historical values.
B) average-cost pricing is a highly complicated method.
C) the average cost is rarely useful information in making pricing decisions.
D) it is easy to lose money with average-cost pricing.
E) average-cost pricing does not help understand how costs operate at different levels of output.

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