Which of the following firms is most likely to use cost-plus pricing?
A) A firm that makes many products but has a small research and development budget, the cost of which can be easily assigned to the different product lines.
B) A firm that sells one product and has a sizable research and development budget.
C) A firm that makes several products and has a sizable research and development budget, the cost of which cannot be easily assigned to each product.
D) A firm that makes one product.
C
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Other things being equal, when the Fed buys U.S. government securities
A) the quantity of paper currency and coins in circulation expands by more than the amount of the Fed's purchase. B) the Fed's total assets and total liabilities immediately expand by exactly the amount of the Fed's purchase. C) the U.S. Treasury must immediately issue new securities to replace the securities that the Fed has removed from the market. D) the quantity of deposits in the U.S. banking system expands by less than the amount of the Fed's purchase.
If the price buyers pay rises by a lesser amount than the tax, the burden...
What will be an ideal response?