OBJECTIVE 1: To understand that profit depends on the quantities of products sold and their prices and to illustrate the limits of pricing at which products can be sold. OBJECTIVE 2: To ascertain what type of costs influences company price setting and how costs can determine the elbow room of pricing. OBJECTIVE 3: To comprehend the relationship between pricing policy and corporate leverage and to recognise the empowering role of break-even analysis in establishing price movement.

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Prices, Costs, and Profit

  • Gábor Rekettye,
  • Jonathan Liu,
  • Pál Danyi

摘要

OBJECTIVE 1: To understand that profit depends on the quantities of products sold and their prices and to illustrate the limits of pricing at which products can be sold. OBJECTIVE 2: To ascertain what type of costs influences company price setting and how costs can determine the elbow room of pricing. OBJECTIVE 3: To comprehend the relationship between pricing policy and corporate leverage and to recognise the empowering role of break-even analysis in establishing price movement.