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Answer: C

NEW QUESTION: 2
Which of the following is a false statement about cost-based pricing?
A. Variable costs may not be used as the basis for costs.
B. A cost-plus price equals the cost plus a markup.
C. A commonly used cost-plus pricing formula is to add a markup percentage to the total cost.
D. A cost-based price should cover costs and provide the desired return on investment.
Answer: A
Explanation:
Cost-based pricing begins with a cost determination followed by setting a price that will recover the value chain costs and provide the desired return on investment. A cost-plus price equals the cost plus a markup. Cost may be defined in many ways. Most companies use either absorption manufacturing cost or total cost when calculating the price. Variable costs may be used as the basis for cost, but then fixed costs must be covered by the markup.

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B. Ultimate purpose of purchasing or carrying margin stock
C. Immediate purpose of purchasing or carrying margin stock
D. Incidental purpose of purchasing or carrying margin stock
Answer: A

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C. Data Capture
D. Outbound
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