Target return-on-sales pricing is:
A)adjusting the price of a product so that it is "in line" with that of its largest competitor.
B)setting the price of a line of products at a number of different price points.
C)adding a fixed percentage to the cost of all items in a specific product class.
D)setting prices to achieve a profit that is a specified percentage of the sales revenue.

Question

Quizplus · Accepted Answer

Firms such as supermarkets often use target return-on-sales pricing to set prices that will give them a profit that is a specified percentage-say, 1 percent-of the sales volume.

Target Return-On-Sales Pricing Is