A key potential difficulty with cost-based pricing is that
A) different ways of assigning costs will yield varying results.
B) it may be unable to include profit projections.
C) Magnuson-Moss Act violations may occur.
D) modified break-even analysis may be hard to compute.

Question

Quizplus · Accepted Answer

Cost-based pricing can lead to different pricing outcomes depending on the method used to allocate costs, making it a potential difficulty.

A Key Potential Difficulty with Cost-Based Pricing Is That