Answer:
B. it ignores the firm's demand curve.
Explanation:
A: With the help of average cost pricing, the fixed cost can quickly estimate. Therefore, it cannot be the answer.
C: The average cost must consider the effect of variable cost. Therefore, it is also the wrong statement.
D: It is easy to estimate profit if there is an average cost pricing.
B: average-cost pricing always ignores the demand curve because it is a "U" shaped curve. Because after a certain level of product selling, the average cost is increasing. On the other hand, demand curve is such that if the price decreases, the quantity demanded increases. Therefore, it is a downward slopping curve. Hence, it is understood that, average-cost pricing ignores demand curve.
The process of associating numerical amounts to the elements in the financial statements is called <u>Measurement</u>.
Financial statements are written data that supply a business enterprise's industrial company activities and economic performance. economic statements are regularly audited through authorities corporations, accountants, corporations, and so forth. to ensure accuracy and for tax, financing, or investing functions.
"Probable future monetary blessings obtained or controlled by way of a particular entity because of beyond transactions." property. Disclosure refers to the system and further records within the Financial statements and notes.
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Answer:
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