Frogmore Gardens in Central Victoria Specialises in Mail- Order Supplies

Frogmore Gardens in central Victoria specialises in mail- order supplies of bare- rooted perennial plants, herbs and cottage garden favourites to retail and wholesale customers around Australia. Frogmore Gardens sends one of the most extensive catalogues of plants to customers in late Spring each year. When customers place their orders, they must also pay a delivery fee. The schedule of delivery fees is included in the catalogue and shows that rates are based on the state where customers live and are as follows: Vic= $11.50; NSW and SA = $12.50; Queensland = $14.50; Tasmania = $17.50. Frogmore Gardens is using:

A) geographic pricing.
B) freight absorption pricing.
C) basing point pricing.
D) zone pricing.
E) none of the above

Correct Answer:

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