Which of the Following Is True About the Use of Social

question 5

Multiple Choice

Which of the following is true about the use of social media for sales promotion?

• A)Offering coupons online significantly increases the costs of development, distribution and database creation.
• B)Firms offer coupons to entice customers to act immediately by visiting a website.
• C)Firms will have to incur costs on the printing of coupons.
• D)Consumers take considerably more time to search and organise online coupons.

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Definitions:

Variable Overhead

Overhead costs that fluctuate with changes in production activity levels, such as utilities or materials used in production.

Labour Rate Variance

The difference between the actual cost of labour and the standard or expected cost of labour.

Sales Volume Variances

Sales volume variances represent the difference between the actual quantity of product sold and the expected quantity sold, indicating market performance or operational efficiency.

Standard Costing

A cost accounting method that assigns expected costs to each unit of production to help managers identify variances between expected and actual costs.