When pricing products and using cost-plus pricing, which type of cost is perceived to be the safest one to use to establish the price. OA. Manufacturing cost O B. Full absorption cost OC. Prime cost D. Variable costs

Survey of Accounting (Accounting I)
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ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter12: Differential Analysis And Product Pricing
Section: Chapter Questions
Problem 4SEQ: For which cost concept used in applying (he cost-plus, approach to product pricing are fixed...
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When pricing products and using cost-plus pricing, which type of cost is perceived to be the safest one to use to establish
the price.
OA. Manufacturing cost
B. Full absorption cost
OC. Prime cost
OD. Variable costs
Transcribed Image Text:When pricing products and using cost-plus pricing, which type of cost is perceived to be the safest one to use to establish the price. OA. Manufacturing cost B. Full absorption cost OC. Prime cost OD. Variable costs
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