Which of the Following Is a TRUE Statement About Markups

Multiple Choice

Which of the following is a TRUE statement about markups?

A) A firm can lose money even when using a high markup.
B) Markup percents are computed as a percent of the cost of the product.
C) It's easier for a producer to administer the prices consumers pay for products if the markup used varies from one intermediary to the next.
D) The lower the markup, the lower the profit.
E) None of these statements about markups is true.