To obtain profit-maximisation, all of the following are good reasons for not choosing cost-plus pricing EXCEPT

	A.	As average cost varies with quantity of output produced, it is difficult to compute cost-plus pricing based on markup.
	B.	The cost-plus pricing fails to take into account the demand condition.
	C.	The cost-plus pricing should base on marginal cost instead of average cost.
	D.	As average cost is a linear function, the demand function must also be in linear form.

To obtain profit-maximisation, all of the following are good reasons for not choosing cost-plus pricing EXCEPT

	A.	As average cost varies with quantity of output produced, it is difficult to compute cost-plus pricing based on markup.
	B.	The cost-plus pricing fails to take into account the demand condition.
	C.	The cost-plus pricing should base on marginal cost instead of average cost.
	D.	As average cost is a linear function, the demand function must also be in linear form.

Which of the following is NOT a necessary condition to practice price discrimination?

	A.	Price elasticities must differ between individual or groups of buyers.
	B.	There must be a way to prevent resale between lower-price and higher-price buyers.
	C.	Marginal cost of production must differ among different plants.
	D.	The firm must possess some degree of market power.