Which of the Following Is NOT TRUE of the Net

question 17

Multiple Choice

Which of the following is NOT TRUE of the net present value of customers?

• A)A firm can determine the net value of offering increasing levels of benefits to users.
• B)Profit potential can be measured by the net present value of the customer.
• C)The number of transactions associated with repeat customers cannot be estimated.
• D)Firms can use it to eliminate customers with low or negative values that represent a financial liability.

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Definitions:

Compound Sentence

A sentence that contains at least two independent clauses, usually connected by a conjunction.

Independent Clause

A group of words that contains a subject and a verb and expresses a complete thought, capable of standing alone as a sentence.

Dependent Clauses

Parts of a sentence that cannot stand alone because they do not express a complete thought.

Sentence Structures

The arrangement of words, phrases, and clauses in sentences to convey meaning, complexity, or emphasis.