By definition, "Price" is
A. the sticker on a product that suggests a price
B. what is charged for something (product or service)
C. calculated by dividing cost with retail selling price
D. the term used by marketers defining the cost of a product
E. profit-oriented
Answer: (B) The business exchange function in a market driven society involves giving an object or service to someone in exchange for money. Money is the price. (A) is incorrect because it is a starting point for price negotiation. Many times wholesalers and retailers are willing to change the "Price" in exchange for quantity purchases, to get rid of out-of-season merchandise, and many other reasons. Price is not calculated by dividing cost by selling price; thus, (C) is incorrect. Cost is how much the product or service "costs," or is paid for, by the intermediary or manufacturer. Adding a markup to that figure gives a price; thus, (D) is not correct. And (E) is not correct because price may be driven by something other than profit, such as sales.