D O Spend Analysis Question 3 Which statement is FALSE: O Price analysis is used for strategic buy O Life cycle cost of ownership is used with critical buy 4 O Spend analysis is based on three main categories of spending costs O Price analysis uses an external benchmark to compare prices Question 4 Cost breakdown problem: indicator 2 30% increase in labor costs and demands a 20% increase in purchasing

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A: Since, Selling price - Variable Cost  =  contribution margin

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Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.