Which of the Following Is a Policy a Store Can

question 140

Multiple Choice

Which of the following is a policy a store can adopt to make low-profit customers more profitable?

• A) 2Wheels sends birthday greetings to its best customers and gives them discounts on merchandise.
• B) 2Wheels has a club for its regular customers, organizing cycling events and parties for them.
• C) Though 2Wheels previously offered free delivery, it now charges for deliveries made outside the city.
• D) 2Wheels allows existing customers to upgrade to a newer model at less than the sticker price by trading in their older model.
• E) 2Wheels encourages customers to send in their suggestions for product improvement.

---

Definitions:

Partnership Income

The earnings distributed to partners in a partnership based on the partnership agreement or ownership percentage.

Partners' Capital Statement

A financial statement that shows changes in each partner's capital account for a specific period.

Capital Equity

Equity capital that is invested into a company by investors who purchase shares of stock, providing long-term funding for business operations.

Income Sharing Ratio

Income sharing ratio refers to the pre-agreed proportion used to distribute profits or losses among partners in a partnership according to their partnership agreement.