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What is meant by the term contribution margin per unit

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Q1. Explain the disadvantages that can result when cost-plus prices are based on absorption costs.

Q2. Describe the skimming pricing and penetration pricing approaches to pricing new products. Provide two examples of each.

Q3. What is meant by the term contribution margin per unit of scarce resource? How is this concept used in making product mix decisions?

Reference no: EM132632985

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