chapter 14 exam 4 MAR

The graph that shows how many units of a product or service consumers will want during a specific period at different prices is known as the ______ curve.

demand

For most products, demand increases as the price decreases. Because of this general trend, demand curves usually have a(n) ______ slope.

downward

Competition, channel members, costs, customers, and company objectives are the five critical components of ______.

pricing

Price is best defined as ______.

the overall sacrifice a consumer is willing to make to acquire a specific product or service

Total cost is ______.

variable costs plus fixed costs

True or false: A firm with a primary objective of very high sales growth will have the same pricing strategy as a firm with a primary objective of being a quality leader.

False

which of the following do you need to know to calculate target return price? (Select all that apply.)

Expected unit sales, Variable costs, and Fixed costs

Assuming the economy and other factors stay the same, a downward-sloping demand curve for a product shows which of the following? As price increases, demand decreases. As price decreases, demand increases. As price decreases, demand decreases. As price increases, demand increases.

As price increases, demand decreases. As price decreases, demand increases.

Which of the following are considered part of the five Cs of pricing?

Company objectives, Competition, Customers, Channel members, and sales

Which of the following is another term for target return percentage?

Markup

The overall sacrifice a consumer makes to acquire a product or service is known as

Price

Break-even analysis examines the relationships between which of the following?

Price and cost

Which of the following accurately characterize demand curves? They are identical for all products and services in a given industry. They relate demand to prices while assuming everything else remains unchanged. They show how much consumers will demand during a specific period at different prices. They are completely accurate prediction models.

They relate demand to prices while assuming everything else remains unchanged They show how much consumers will demand during a specific period at different prices.

A useful technique that enables managers to examine the relationships among cost, price, revenue, and profit over different levels of production and sales is called ______. break-even analysis cost-benefit analysis Rationale: This is not the correct term, although cost is part of the analysis. cross-price elasticity fixed costs

break-even analysis

The five Cs of pricing include ______.

channel members

The five Cs of pricing include ______.

company objectives

One of the five Cs of pricing is ______.

competition

The _____ is fixed costs plus the sum of the variable costs.

total cost