Which of the Following Is True for Customer Satisfaction

question 131

Multiple Choice

Which of the following is true for customer satisfaction?

• A) Satisfaction is a deeply held commitment to rebuy or repatronize a preferred product despite situational influences.
• B) Consumers often form more favorable perceptions of a product with a brand that is new.
• C) The ultimate goal of a customer-centered firm is to create high customer satisfaction.
• D) Only increased customer satisfaction can help a company increase its profits.
• E) Greater customer satisfaction has also been linked to higher returns and lower risk in the stock market.

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Definitions:

Activity Rate

The cost driver rate used in activity-based costing to allocate costs more accurately to products or services based on specific activities.

Activity Cost Pool

A category in activity-based costing that aggregates costs incurred from a specific activity, facilitating the assignment of those costs to products or services based on their use of the activity.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to related products and services based on the amount of resources they consume.

Unit Product Cost

The total cost (both direct and indirect) to produce a single unit of product, typically including materials, labor, and overhead.