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Question 1 QUESTION 1. The CEO of Talk Ltd, Ms Andi, has made an observation about their competitor's product pricing and seeks your advice as

Question 1 QUESTION 1.

The CEO of Talk Ltd, Ms Andi, has made an observation about their competitor's product pricing and seeks your advice as the organisations Management Accountant. Over the last 12 months Ms Andi has noticed that the prices of the phones sold by their competitor Import Ltd, appear unrealistically low.

Explain to the CEO Ms Andi why this could be the case.

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