Refer to Scenario 7

question 145

Multiple Choice

Refer to Scenario 7.4 below to answer the question(s) that follow.
SCENARIO 7.4: You own and are the only employee of a company that sells custom embroidered pet sweaters.
Last year your total revenue was $120,000. Your costs for equipment, rent, and supplies were $30,000.
To start this business you invested an amount of your own capital that could pay you a $50,000 a year return.
-Refer to Scenario 7.4. Your accounting profit last year was

• A) $20,000.
• B) $40,000.
• C) $70,000.
• D) $90,000.

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Definitions:

Alternatives

Different options or choices available to consumers or decision-makers in any given scenario.

Need Awareness

The stage at which the salesperson is aware of the buyer’s needs and takes control of the situation by restating those needs to clarify the situation.

Serta Mattress

A brand of mattresses known for their comfort and quality, often highlighted in discussions about sleep improvement and home furnishing.

Pillow-Top

A type of mattress featuring an additional upholstery layer on the top for enhanced comfort, often used in descriptions of bedding products.