Kelly Had Spent Longer at Lunch with His Customer,a Computer

question 1

Multiple Choice

Kelly had spent longer at lunch with his customer,a computer game manufacturer,than he expected.But,the meeting had been worthwhile.The customer had told Kelly that his company was about to lower the price of computer game systems the following week, the start of the next financial quarter,but that they were planning to keep this
Information from the retailers until the last possible minute to maximize the profit margins for the quarter.Kelly decided to delay purchasing a game system,which he had been planning to buy for his daughter,until the following week.What is the nature of
Kelly's conflict of interest?

• A)Self-dealing
• B)Personal conduct
• C)Using confidential information
• D)Influence peddling
• E)Kelly is not in a conflict of interest.

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Definitions:

Gross Margin

A financial metric that represents the difference between revenue and the cost of goods sold, expressed as a percentage of revenue, indicating the efficiency of a company in managing its production costs.

Customer Acquisition

The process of bringing new customers to a business through various marketing strategies and sales tactics.

Target Market

The specific group of customers that a business aims to reach with its products, services, and marketing efforts.

Break-Even Analysis

A financial calculation to determine the point at which revenue received equals the costs associated with receiving the revenue, used to identify profitability thresholds.