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In the Cost-Plus Method of Pricing, There Is One Major

Question 58

Multiple Choice

In the cost-plus method of pricing, there is one major drawback that sometimes precludes exports from using it.What is this drawback?


A) The final price may be so high that the firm's competitiveness is compromised.
B) It is so variable that the actual price cannot be substantiated.
C) There is high turnover of product resulting in unacceptable costing fluctuations.
D) Each of the elements has to be examined individually, using complex structure grids.

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