Review several of your peers' posts., respond to at least two of your peers' posts in a substantive manner. Provide information that they may have missed or may not have considered in regard to why variable-cost pricing can trick managers into setting prices so low that they hurt profits, or worse yet, cause net losses since it does not fully account for fixed costs. Do you agree with your peers' findings? Why or why not?

Below is a post from one of my peers

I feel like I was the only one that struggled trying to find the information needed for this assignment. I felt I searched the websites pretty thoroughly under the Investor Relations and didn't find the clearly defined section for Annual Reports. After looking through 2022 section I found the 10-K form for American Airlines, and settled for the consolidated finances for Samsung. Samsung was also more complicated for showing the numbers in terms of thousands in USD and millions in Korean won.

American Airlines

American Airlines is a major airline that offers air transportation services for passengers and cargo. They provide flights to various destinations worldwide.

Airline ticket prices can vary significantly based on factors such as the destination, class of travel, timing, and demand. Pricing information for specific flights can be obtained through their official website or booking platforms. Tickets, depending on the destination and time of the year, can vary from under $100 to thousands of dollars.

The following is listed on the Form 10-K as operating expenses. The largest of these costs for 2022 was the Aircraft fuel and related taxes. Last year it was the Salaries, wages and benefits, which was probably due to the COVID pandemic which shut down majority of airports and flights, but the employees were still collecting paychecks.

Aircraft fuel and related taxes - Variable Cost Salaries, wages and benefits - Fixed Cost Regional expenses - Mixed Cost because it could also contain administrative costs. Maintenance, materials and repairs - Variable Cost Other rent and landing fees - Variable Cost Aircraft rent - Variable Cost Selling expenses - Variable Cost Depreciation and amortization - Variable Cost Mainline operating special items, net - Variable Cost Other - Variable Cost

Samsung

Samsung Electronics is a multinational technology company. They offer a wide range of consumer electronics and electronic components, including mobile devices, televisions, home appliances, and semiconductors.

The pricing for Samsung products also varies depending on the specific product category, features, and market conditions. Retailers and Samsung's official website offer pricing information for their products that vary from just under $100 to thousands of USD depending on the item and availability.

The research and development department had the highest difference in terms of variable costs. This is most likely due to the decrease in available resources and the increase need to compete in the market. This wasn't just the highest in terms of price change, but the highest investment in terms of spending for the company.

Changes in finished goods, work in process, and other - Variable Cost Raw materials used, merchandise purchased, and other - Variable Cost Wages and salaries - Fixed Cost Post-employment benefit - Fixed Cost Depreciation - Fixed Cost Amortization - Fixed Cost Welfare - Fixed Cost Utilities - Fixed Cost Outsourcing - Mixed Cost Advertising - Variable Cost Sales promotion expenses - Variable Cost Research and Development - Variable Cost Donations - Variable Cost

According to Sadek (2022), there isn't an easy way to buy shares of their company in the United States. Samsung is traded via the Korean Exchange (KRK), which means that investors will have to buy shares through a local broker in South Korea, or by investing directly with the company. Investors can also find Samsung shares through the Grey Market, traded over the counter, or they can buy an ETF that includes Samsung.