The price on which it is limit that no less profits would be accepted less than this price is classified as?

Correct answer: D. price floor

  • A. cost ceiling
  • B. cost floor
  • C. price ceiling
  • D. price floor

Explanation

A price floor is the lowest price acceptable to the seller, often because charging below it would not cover costs or provide the required profit. A price ceiling is the maximum price permitted or charged.

Written and checked by , editorLast updated
Report an error

The more specific you are, the faster it gets fixed. A source beats an opinion.

Prefer email? support@testustad.com

About Marketing

Marketing covers how organisations identify customer needs, create value and exchange products or services through suitable markets. Key concepts include market segmentation, targeting, positioning, consumer behaviour, the marketing mix of product, price, place and promotion, branding, product life cycle and differences between marketing and selling.

Practise Marketing

1,700 free Marketing MCQs from Management Sciences, each with the correct answer and an explanation. Unlimited attempts, no account needed.

Exams that ask Management Sciences questions like this

Management Sciences is on 2 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.

More Marketing questions