50.1K

Verified Solution

Link Copied!

A)McDonald’s offered toys that portrayed the characters in themovie The Incredibles for free with the purchase of aHappy Meal.  The giving away of these toys is an exampleof the use of what type of promotional tool?

A options:

	Sweepstake
	Deal
	Rebate
	Allowance
	Premium

B)

Which of the following is a commonly used pricing strategy thatinvolves payment to an intermediary for promoting a manufacturer’sproducts?

B options:

	Price bundling
	Zero percent financing
	Quantity discount
	Promotional allowance
	Seasonal discount

C)

A __________ contains specific goals assigned to a salesperson,sales team, branch sales office, or sales district for a statedtime period.

C options:

	last year/current year sales ratio report
	sales call report
	sales quota
	selling expense report
	income statement

D)

Jane Caplow owns a picture-framing shop, The CaplowCompany.  The average price she receives for a pictureshe frames for a customer is $120.  This price must coverher average costs for a typical framed picture of $5 for glass, $2for matting, and $13 for the frame, and $30 for the laborinvolved.  She must also cover monthly expenses of $1,000for rent and insurance, $200 for heat and electricity, $500 foradvertising, and $3,500 for her salary.  Caplow isconsidering buying an automatic mat-cutting machine inorder to reduce the number of hours of direct laborrequired to produce a framed picture.  In consideringthis purchase, she should recognize this purchase will _____Caplow's variable cost and _____ Caplow's fixed cost.

D)

	increase; decrease
	have no effect on; have no effect on
	decrease; increase
	increase; increase
	decrease; decrease

E)

Which of the following is a typical example of a fixed cost?

E)

	hourly wages
	sales commissions
	production goods
	raw materials
	building rental expense