Andrew is allowed to purchase a reasonably priced notebook computer for graduation.He sees one at Excel Electronics for $999.99 and calls his parents to assure them the computer costs "less than a thousand." Both Andrew and Excel Electronics are using _____ to downplay the price of the computer.
A)cost-based pricing
B)personal selling
C)price fixing
D)odd pricing

Question

Quizplus · Accepted Answer

Andrew and Excel Electronics are both using odd pricing strategy, which involves setting the price just below a round number to create the illusion of a lower price. In this case, the price of the computer is set at $999.99 to make it seem like it is less than $1000.

Andrew Is Allowed to Purchase a Reasonably Priced Notebook Computer