Nature's Taste, a manufacturer of floral jellies made from pansies, honeysuckle, and wisteria, prices its jellies by adding 30 percent to the cost of everything that goes into making the jellies including salaries, jars, sugar, and pectin.Which of the following pricing methods is being used here?

Question

Quizplus · Accepted Answer

Nature's Taste is using standard markup pricing here.Manufacturers commonly express markup as a percentage of cost, which is the difference between selling price and cost, divided by cost.This is also referred to as standard markup.

Nature's Taste, a Manufacturer of Floral Jellies Made from Pansies