The advantage of full cost plus pricing is the higher return on investment. The disadvantage of full cost-plus pricing is lower demand for the products.
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Cost plus pricing is based on full product cost plus desired profit margin to arrive at the product price, while marginal cost plus pricing makes use of the product's total variable cost plus desired profit margin to arrive at the product's price. Marginal cost plus pricing (or "mark-up pricing) is based on demand, and completely ignores fixed costs in arriving at the product's price.
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Not essentially. The relevant costs are only those costs that will change as a result of accepting the order. In this case, full product costs will rarely be relevant. It is more likely that full product costs will be relevant costs for long-run pricing decisions.
full employment
full employment
All is well
There are many advantages and disadvantages of eating turkey. One advantage is that it is full of nutrients for your body.
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advantage= yum! disadvantage= full...
With odd pricing, the cost of the product may be a few cents lower than a full-dollar value
Cost plus pricing is based on full product cost plus desired profit margin to arrive at the product price, while marginal cost plus pricing makes use of the product's total variable cost plus desired profit margin to arrive at the product's price. Marginal cost plus pricing (or "mark-up pricing) is based on demand, and completely ignores fixed costs in arriving at the product's price.
The simplest and oldest way to determine price is cost-plus pricing. It is popular because it takes few resources and it provides a consistent rate of return and full coverage of cost.
That sometimes you get money if it is full but sometimes you don't if it is empty
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Advantage:1:To overcome half subtractor, full subtractor comes into play