Janice Sells Her Handmade Candles Directly to Customers

question 87

Multiple Choice

Janice sells her handmade candles directly to customers.She plans to lower prices to sell her candles to a distributor in order to expand her business.What kind of distribution is Janice currently using?

• A) retailer channel
• B) multi-channel
• C) direct channel
• D) indirect channel

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Definitions:

Salespersons

Individuals who sell products or services for a company, often working on commission and responsible for generating revenue for the business.

Direct Materials Used

The raw materials directly utilized in manufacturing a product, which are a component of the cost of goods sold.

Direct Labor

The labor costs directly tied to the production of goods or services, including wages for workers who physically manufacture products.

Manufacturing Overhead

All indirect costs associated with the manufacturing process, including but not limited to utilities, rent, and salaries for non-direct labor.