The target cost approach assumes that the selling price is set by the marketplace
Option D
Explanation:
The demand for a product or service is the ultimate price of the retailer, i.e. the cost the consumer pays. The trade may be in a certain number, weight or metric for a product or service.
This is one of the main factors to be decided by a client. It is necessary because the quality of its survival can be determined. The price of a commodity impacts its sales directly.
We may set a minimum, limit or combination of these two rates. Depending on the time of the year again, season, area, demand and industry, prices can be determined. It's also a great idea to see what our rivals do. Selling prices may be influenced by legislation and national or local rules.