Freight-absorption pricing basically amounts to cutting the list price on sales to distant customers.
Answer the following statement true (T) or false (F)
True
Freight-absorption pricing means absorbing the freight cost so that a firm's delivered price meets that of the nearest competitor. This amounts to cutting the list price to appeal to new market segments.
You might also like to view...
Suppose that an issuing bank pays on documents that are conforming to the requirements of the letter of credit, but the seller has shipped worthless goods to the buyer. Which of the following statements, if any, are true?
A) As long as the documents strictly comply with the letter of credit requirements, the bank will not have to reimburse the buyer. B) If there is fraud in the transaction, the bank will have to reimburse the buyer and seek its remedies against the seller. C) The strict compliance principle insulates the bank from liability, since it assures the bank that the underlying contract between the buyer and seller is entirely independent from the letter of credit contract. D) A and C.
According to ____, corporate social responsibility creates administrative expenses, distracts executives, confuses economic goals with other goals, and subtracts from social welfare when the corporation is less efficient.
Fill in the blank(s) with the appropriate word(s).
When considering decisions, people often give disproportionate weight to the last information they received.
Answer the following statement true (T) or false (F)
Intangible assets ______.
A. are not recorded in the books because they have no physical substance B. convey special rights from patents, copyrights, trademarks, and other creative works C. represent assets for which the market value cannot be determined D. All of the statements are correct.