From an Operational Perspective, Yield Management Is Least Effective Under

question 17

Multiple Choice

From an operational perspective, yield management is least effective under which of the following circumstances?

• A) Demand can be segmented by customer.
• B) The product can be sold in advance.
• C) The product can be kept to be sold when demand is stronger.
• D) Fixed costs are high, and variable costs are low.
• E) Demand is highly variable.

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Definitions:

Ending Inventory

The total value of goods available for sale at the end of an accounting period, calculated as the beginning inventory plus purchases minus the cost of goods sold.