Which of the Following Statements Is True About Retailing Formats

question 86

Multiple Choice

Which of the following statements is true about retailing formats?

• A) Online retailers can be either Internet-only operations or online extensions of store-based operations.
• B) Off-price retailers refer to large stores that carry a variety of products in multiple categories, such as clothing, house wares, gifts, bedding, and furniture.
• C) Department stores sell various noncompeting products to customers in a specific region.
• D) All retailing efforts can be divided into wholesalers and distributors.
• E) The replacement of intermediaries by producers when the producers can perform channel functions more effectively is referred to as the wheel of retailing.

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Definitions:

Subordinated Debenture

A type of unsecured debt that ranks below other debts and securities in terms of claims on assets or earnings in the event of a liquidation.

Bankruptcy

The legal status of a person or entity that cannot repay the debts it owes to creditors.

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock and often pays dividends.

Coupon Bond

A type of bond that pays the holder a fixed interest rate (coupon) over its entire term and repays the principal at maturity.