Which of the following illustrates a volume pricing example?

• A. All units are priced the same regardless of volume.
• B. Price per unit increases with volume.
• C. Price is a fixed monthly charge.
• D. If a customer needs 20 units, the price will be $9 per unit for a total of $180.

Answer: (D)

Volume pricing means the price you pay for each unit can depend on how many units you buy. The example where 20 units cost $9 per unit, totaling $180, shows this idea clearly: the per-unit price is tied to the quantity, illustrating a discount structure that changes with volume. The other scenarios don’t demonstrate this: pricing that stays the same per unit no matter the quantity lacks any volume-based adjustment; a per-unit price that increases with volume doesn’t reflect a discount and isn’t typical volume pricing; and a fixed monthly charge isn’t tied to the number of units purchased. So the example with a specific quantity and per-unit price best illustrates volume pricing.