Reasons for a price increase include all of the following EXCEPT ________.
A) a desire to improve profits
B) cost inflation
C) when the alternative is rationing of the product
D) decreasing gross margins
E) increasing supply of product

Question

Quizplus · Accepted Answer

Increasing the supply of a product would typically lead to a decrease in price, not an increase. Therefore, this option is not a reason for a price increase.

Reasons for a Price Increase Include All of the Following