When a seller determines the selling price by adding to cost an amount for profit and expenses not previously accounted for,what type of pricing is the seller using?
A) demand-oriented pricing
B) profit maximization pricing
C) markup pricing
D) target return pricing

Question

Quizplus · Accepted Answer

Markup pricing is where a seller adds a predetermined amount to the cost of a product to determine the selling price, considering profit and expenses not previously accounted for. This method is commonly used in retail and wholesale businesses.

When a Seller Determines the Selling Price by Adding to Cost