Which of the following pricing tools combines both, the cost-oriented price setting approach as well as the demand-oriented price setting approach?
A) Break-even analysis
B) Average-cost pricing
C) Markup pricing
D) Marginal analysis
E) Price sensitivity

Question

Quizplus · Accepted Answer

Marginal analysis considers both the cost of producing one more unit (cost-oriented) and the expected demand or revenue from selling that unit (demand-oriented), making it a tool that combines aspects of both approaches.

Which of the Following Pricing Tools Combines Both, the Cost-Oriented