3. Describe what might happen if a retail business sold its products to consumers for the same price it paid for them.

Question

3.	Describe what might happen if a retail business sold its products to consumers for the same price it paid for them.

Sarah S. · Accepted Answer

If a retail business sold its products to consumers for the same price it paid for them there wouldn’t be in business for very long. Outside of the “costs of goods sold (COGS), businesses have to pay for overhead items such as wages and others expenses such as utilities. These other expenses have to be considered in addition to COGS when setting the final price for consumers.