Using Full Costs for Pricing Decisions Can Be Justified in Which

Multiple Choice

Using full costs for pricing decisions can be justified in which of the following circumstances?

A) When a firm enters into a long-term contractual relationship to supply a product.
B) For development and production of customized products and contracts with the government.
C) When managers initially set prices to cover full costs plus a profit then adjust to reflect market conditions.
D) All of the answers are correct.