Post by account_disabled on Feb 20, 2024 1:37:22 GMT -8
Applicable to situations where a company wishes to increase sales at the expense of existing production. At the same time, current output must cover fixed costs. The price will only take into account the cost of producing an additional unit of product at marginal cost. Accounting for investment returns. This is a rather labor-intensive version of the costly method and is used when borrowed funds are available. Pricing must ensure profitability is higher than the cost of attracting investment.
To do this, interest on the loan is added USA Phone Number List to the total cost of producing a unit of output. multiple products with varying production costs can use this method. Or calculate the cost of a new product. This method is demonstrated below with a simple example. Suppose a company wants to know the price of a new product. Units of goods are planned to be produced each year at a variable cost of rubles per unit. The fixed fee amount is ten thousand rubles.
At the same time, the company needs a loan of 10,000 rubles, and the bank issues the loan at an annual interest rate. Now we calculate one unit of goods: Fixed cost per unit: Rubles Total expenses: Rubles Expected revenue: Rubles (not less) Minimum price: Rubles Market Their application is based on market research and is most often used for services, technically complex products and popularity Branded merchandise. For a market approach, take marketing research.