The amount added to a product's cost in order to sell it at a target profit is called ________.
A) profit points
B) profit allowance
C) revenue margin
D) markup

Question

Quizplus · Accepted Answer

Markup refers to the amount added to a product's cost in order to create a profit, often expressed as a percentage of the cost. Profit points and profit allowance are not commonly used terms in the context of pricing strategies, and revenue margin generally refers to the percentage of revenue generated by a company after accounting for all expenses.

The Amount Added to a Product's Cost in Order to Sell