Phil Langston Has Just Ordered a Number of Expensive Executive

question 28

Multiple Choice

Phil Langston has just ordered a number of expensive executive gifts that he will be sending as an appreciation token to a select few customers from his client database. In which of the following ways is Mr. Langston most likely using his database?

• A) to identify prospects
• B) to decide which customers should receive a new sales offer
• C) to deepen customer loyalty
• D) to avoid serious customer mistakes
• E) to beat the competition to a sale

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Definitions:

Fixed Costs

Expenses that do not change in the short term, regardless of the level of production or sales activities.

Differential Analysis

The process of analyzing and comparing alternative business decisions based on the differences in total costs and total revenues.

Commercial Oven

A heavy-duty cooking appliance designed for use in a commercial setting like restaurants or bakeries, built to withstand high-volume, continuous use.

Maintenance Costs

Expenses incurred in keeping an asset in working condition or restoring it to working condition.