Question

Which term describes what a manufacturer spends for goods or services?

A)cost
B)price
C)markup

Answer 1

That would be A) the cost.

Hope this helped!

Answer 2

A) cost

Explanation:

Whenever a manufacturer does business, he purchases materials, hires labour, expend some amount for other costs to get the product finished. This is called total cost.

Price is the amount he charges for the product he manufactured normally this would be calculated as a cost +profit margin.

Markup price is the amount fixed on a product such that after discount it comes to original price.

Hence here we find that A) cost is the correct answer.