OVERHEAD How might overhead affect the price of a new car?

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10-11-2014
Business

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OVERHEAD How might overhead affect the price of a new car?

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Vuk15idn Vuk15idn · Answer 1 · 2017-03-14T09:39:16-04:00

Vuk15idn Vuk15idn

14-03-2017

If the overheads increase, the price of cars will go up too. If it didn't go up then the company would either be having lower revenue or they would be losing money. This way, they increase the price of the car to negate the increase of the overhead. This might however lead to the lack of demand for a more expensive car so they would certainly have to find a way to go around this.

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