Suppose a Firm Selects Its Plant in St

Multiple Choice

Suppose a firm selects its plant in St.Louis as the location from where it will ship its products to all of the identified cities shown in Geographical Pricing Map C above.The MSRP of the product is $100 but the firm adds a freight surcharge to cover transportation/freight.This surcharge will vary according to the distance between the origin of the shipment-in this case St.Louis-and the destination or customer's location.In this pricing method,what is St.Louis called?

A) basing-point
B) FOB origin point
C) multiple-zone location
D) FOB freight location
E) FOB destination point