Reductions in Unit Costs for a Larger Order Are Referred

question 143

Multiple Choice

Reductions in unit costs for a larger order are referred to as

• A) promotional allowances.
• B) quantity discounts.
• C) economic order discounts.
• D) penetration pricing.
• E) case allowances.

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Definitions:

Support Processes

Support processes are the administrative and facility-related activities in an organization that assist in the production of goods or delivery of services but are not directly involved in the primary operations.

Value Chain

A model that describes the full range of activities required to create a product or service, from conception through the different phases of production to eventual delivery to the consumer.

Mass Services

Services provided to a large number of customers with standardized processes, often seen in the banking and retail sectors.

High Contact Time

Situations where there is extensive interaction or engagement over a period between two parties, such as in education or customer service.