12. Costing and Pricing Flashcards
1
Q
Define cost
A
“How much it cost you to produce/manufacture”
2
Q
Define price
A
“How much you are selling the product for”
3
Q
Define value
A
“How much the customer is prepared to pay”
4
Q
Describe the graph comparing cost, price, and profit margin
A
5
Q
Describe the graph comparing cost, price, and negative margin
A
6
Q
What is the equation for cost plus?
A
7
Q
What is the equation for value-added?
A
8
Q
Give the equation for profit margin
A
9
Q
Give the equation for percentage margin
A
