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Lopezj273 Lopezj273
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Posts: 324
A week ago

Which of the following is not an advantage cost-plus pricing?



It leads to profit maximization.



It is an easy method to implement if a firm produces multiple products and has overhead costs that are difficult to allocate to a particular good.



It is easy to justify price increases when total costs of production increase.



It could lead to price stability if the industry is made up of identical firms all using the same method of pricing.

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Mtoney9Mtoney9
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Posts: 300
A week ago
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It leads to profit maximization.

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