1 .		Competition-based pricing is also known as ________ pricing. [Hint]   going-rate   break-even   target-profit   value
2 .		________ costs do not vary with the level of production. [Hint]   Variable   Fixed   Average   Intangible
3 .		Pricing strategy is largely determined by decisions on marketing strategy including: [Hint]   product design   distribution   promotion   all of the above
4 .		Which of the following is not one of the internal factors affecting pricing decisions? [Hint]   the market and demand   company marketing objectives   marketing mix strategy   costs
5 .		________ is the only element of the marketing mix that produces revenue --- all other elements represent costs. [Hint]   Product   Packaging   Promotion   Price
6 .		Historically, _________ has operated as the major determinant of a buyer choice. [Hint]   Product   Place   Price   Promotion
7 .		An industry characterized by many buyers and sellers trading in a homogeneous commodity where no single buyer or seller has much influence on the going market price operates in: [Hint]   pure competition   monopolistic competition   monopoly   oligopoly
8 .		Realistic Gel Corporation competes in a market characterized by many buyers and sellers who trade over a range of prices rather than a single price. (The range of prices occurs because sellers can differentiate their offer to buyers.) Realistic is engaged in ________ competition. [Hint]   monopolistic   pure   oligopolistic   interdependent
9 .		Demand curves: [Hint]   show the relationship between price and quantity demanded.   are typically downward sloping.   always indicate that the higher the price, the greater demand will be.   a and b
10 .		Steven Goss found that when he raised his price, the quantity purchased by consumers dropped slightly, but overall he made more money. Goss is facing a(n): [Hint]   inelastic demand curve.   elastic demand curve.   upward sloping demand.   unitary elasticity.
11 .		Throughout history, sellers followed a fixed price policy -- setting one price for all buyers. [Hint]  True  False
12 .		If a company has selected its target market and positioning carefully, then its marketing mix strategy, including price will be fairly straightforward. [Hint]  True  False
13 .		A company that has established the goal of Product Quality Leadership will typically charge a high price to cover higher performance materials, workmanship and quality, and the high cost of research and development. [Hint]  True  False
14 .		Price decisions are typically made independently of product design, distribution, and promotion decisions. [Hint]  True  False
15 .		Whereas costs set the lower limit of prices, the market and demand set the upper limits. [Hint]  True  False
16 .		The simplest method of setting a price is cost-plus pricing. [Hint]  True  False
17 .		On a breakeven chart, the firm will break even at a level of sales where total profits equal total costs. [Hint]  True  False
18 .		The reason firms in monopolistic competition transact over a range of prices, rather than a single price, is that sellers are able to differentiate their offers to buyers. [Hint]  True  False
19 .		Most demand schedules indicate that demand and price are inversely related -- that is, the higher the price, the lower the demand. [Hint]  True  False
20 .		The cost-plus pricing method will yield the best possible price. [Hint]  True  False
21 .		Explain why cost-based pricing approaches remain popular among marketers. [Hint] To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.
22 .		Discuss the role that price may play in pursuit of marketing objectives. [Hint] To create paragraphs in your essay response, type <p> at the beginning of the paragraph, and </p> at the end.