Entrepreneurship & Small Business Management Chapter 11 Part 1 Quiz

Question 1

How do you calculate the price on an item?

Accepted Answer

Cost + Profit = Buying Price

Question 2

Stage 1 of the product life cycle is:

Accepted Answer

Introduction

Question 3

The __________ dictates the business cannot sell two of the same products for different prices.

Accepted Answer

Clayton and Robinson-Patman Acts

Question 4

The three strategies for setting a basic price are:

Accepted Answer

Cost, Demand, Competition Based

Question 5

Cost and Expenses can be either _________________ or ___________________.

Accepted Answer

Fixed / Variable

Question 6

When demand is LOW and supply is HIGH

Accepted Answer

You command a LOW Price

Question 7

Customers pay a different price for the same type or amount of merchandise is:

Accepted Answer

Flexible Price Policy

Question 8

Customers are charged the same price for the goods and services offered for sale is:

Accepted Answer

One Price Policy

Question 9

The price of your products helps create your image in the minds of consumers?

Accepted Answer

True

Question 10

When demand is HIGH and supply is LOW

Accepted Answer

You command a HIGH Price

Question 11

Customers will typically pay more for personal attention, credit and warranties.

Accepted Answer

True

Question 12

Setting the price for a good, service or idea is easy.

Accepted Answer

False

Question 13

Stage 3 of the product life cycle is:

Accepted Answer

Maturity

Question 14

When setting a price, an organization must consider the following:

Accepted Answer

All of the Above

Question 15

Stage 2 of the product life cycle is:

Accepted Answer

Growth

Question 16

Stage 4 of the product life cycle is:

Accepted Answer

Decline

Questions 16