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3 years ago

Price discrimination Question 29 options:

Business

1 answer:

REY [17]3 years ago

7 0

Answer:

The answer is A) is a type of nonuniform pricing.

Explanation:

Price discrimination is the pricing methodology where supplier will put different price toward different customers/ groups of customer based on the supplier's understanding of that customers/ groups of customer on how much they want to spend on supplier's products.

The strategy because different group of customer will have different demand, price sensitivity and different use thus valuation to a product ( thus C as not correct).

D is not correct because Law is less likely to intervene civil transactions.

B is not correct because producers does not have to make any tradeoff in price setting under this strategy; insteade, they set price based on their understanding of customers.

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Other things equal, and assuming efficient markets, if a Honda Accord costs $24,682 in the U.S., then at an exchange rate of $1.

faust18 [17]

Answer:

Option (D) is correct.

Explanation:

Cost of Honda accord in the United States = $24,682

The exchange rate between the Great Britain and United states is as follows:

1 pound sterling = $1.57

Hence,

The cost of Honda accord in Great Britain:

= Cost of Honda accord in the United States ÷ Value of the 1 sterling pound in terms of U.S dollar

= $24,682 ÷ $1.57

= 15,721 pound sterling

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3 years ago

McDonald's Corp has a preferred stock paying a dividend of $19 and has a market price of $178. Calculate the cost of capital for

Iteru [2.4K]

Answer:

McDonald's Corp

The cost of capital for the preferred stock is:

10.67%

Explanation:

a) Data and Calculations:

Market price of preferred stock = $178

Preferred stock dividend = $19

Cost of capital = Preferred stock dividend/Market price of preferred stock * 100

= $19/$178 * 100

= 10.67%

b) The cost of capital for McDonald's preferred stock is the finance cost or interest cost that it must incur for financing its projects using preferred stock. This represents the 10% of the preferred stock value that is paid out to preferred stockholders.

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3 years ago

Clampett, Inc. has been an S corporation since its inception. On July 15, 2019, Clampett, Inc. distributed $40,500 to J. D. His

AlexFokin [52]

Answer:

c. None of the choices are correct

Explanation:

Calculation of capital gain

Basis of stock $35,000

Allocated ordinary income $12,000

Total basis $47,000

Amount distributed $40,500

Therefore, Since basis is more than distribution capital gain, The capital gain is $0.

4 0

3 years ago

marquis suites shows movies in a living room atmosphere with comfortable chair and food and beverage service it deliverately cha

CaHeK987 [17]

The different pricing strategies are matched with the best scenarios below.

<h3>What are pricing strategies?</h3>

When selling a product or service, a company can employ a number of pricing tactics.
Senior executives must first assess the company's price position, pricing segment, pricing capacity, and competition pricing reaction strategy before determining the most successful pricing strategy for the company.

The scenario to the strategy it best illustrates is shown below:

1. When the Mays family went to Europe, they used a travel agent who worked out a trip that included airfare, hotels, and some tours all for one price.

Most Suitable Pricing Strategy: Bundling

2. Marquis Suites shows movies in a "living room" atmosphere with comfortable chairs and food and beverage service. It deliberately charges more than other theaters for this experience.

Most Suitable Pricing Strategy: Competition-based pricing

3. Chad is a do-it-yourself guy. He shops at Home Depot because, although they don’t usually run sales, he knows the store will offer the lowest price around on the tools he needs.

Most Suitable Pricing Strategy: Everyday low pricing (EDLP)

4. A major national retailer charges "full retail" for most of the lines it carries but runs "special sales" during which the company lowers its price.

Most Suitable Pricing Strategy: High-low pricing

5. When Walmart enters a new geographic area, the company undersells its more well-established competitors and eventually raises its prices once it has a loyal customer base.

Most Suitable Pricing Strategy: Penetration pricing

6. When Aaron was looking for mortgage lenders, he noticed that one major lender lowered their rates, and several others did the same within a few days.

Most Suitable Pricing Strategy: Price leadership

7. Larry Dietzel, a real estate agent, advised his clients to price their home at $199,900 when they listed with his agency.

Most Suitable Pricing Strategy: Psychological pricing

8. Overture Audio home theater systems can run as high as $100,000 but there are only a few companies offering the systems.

Most Suitable Pricing Strategy: Skimming price

9. Toyota’s approach to entering the U.S. market was to set a certain net profit margin, then determine what price the company had to offer to get Americans to buy its cars instead of domestic cars.

Most Suitable Pricing Strategy: Target costing

Therefore, the different pricing strategies are matched with the best scenarios.

Know more about High-low pricing here:

brainly.com/question/13961829

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Complete question:

Decisions about pricing strategies should be set in conjunction with other marketing decisions about product design, packaging, branding, distribution, and promotion. All these marketing decisions are interrelated. Prices must be related to the cost of producing the product and prices are usually set somewhere above cost. But price and cost aren't always related. There are three major approaches to pricing strategy: cost-based, demand-based (target costing), and competition-based. Other pricing strategies include skimming price strategy, penetration strategy, everyday low pricing (EDLP), high-low pricing strategy, bundling, psychological pricing, and demand-oriented pricing. Match each scenario to the strategy it best illustrates.