Question

'Product cost' as a factor affecting price determination of a product includes ______. 

Options

• cost of producing, distributing and selling the product.

• utility provided by the product.

• nature and degree of competition.

• maximizing profit in the short run.

Answer 1

'Product cost' as a factor affecting price determination of a product includes cost of producing, distributing and selling the product.

Explanation:

Cost is one of the most significant factors influencing a product or service's price. This covers the price of making, shipping, and retailing the item.