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Morwitz et al. (1998) proposed that surcharges had less influence on buyers than the base price because buyers either fail to process the surcharge or focus on the base price and adjust insufficiently for the surcharge. Therefore, sellers using a partitioning price strategy may receive greater profits when buyers disregard the surcharge. Xia and Monroe (2004) asked participants to consider a desktop computer purchase where shipping and handling were either included or partitioned from the base price. Despite the fact that the total price was also presented in the price partitioned condition, purchase intentions were higher when the price was partitioned than when it was combined. The prediction that price partitioning can increase purchase intentions seems to challenge some findings from prospect theory (Kahneman & Tversky 1979) which propose that people prefer to integrate losses, and therefore would consider a lower total cost from bundled pricing than from price partitioning.