Why Is It Important to Assess Customer Satisfaction

question 109

Multiple Choice

Why is it important to assess customer satisfaction?

• A) Doing so helps build customer trust
• B) Doing so provided competitive information
• C) It isn't important as long as the company is profitable
• D) Assessing satisfaction is a ploy used to begin the next sales cycle
• E) Both A and C are correct.

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Definitions:

Cost of Goods Sold

Direct costs attributable to the production of the goods sold by a company, including materials and labor costs.

Merchandise Inventory

Goods that a retail or wholesale company intends to sell to customers. The inventory account is adjusted based on purchases and sales.

Purchases Returns

Goods returned to the supplier from the buyer due to defects, inaccuracies in orders, or other reasons.

Sales Returns

Transactions where customers return previously purchased merchandise to the seller, resulting in a deduction from gross sales to arrive at net sales.