Target Segments Should Be Selected on the Basis of All

question 21

Multiple Choice

Target segments should be selected on the basis of all of the following EXCEPT:

• A)sales and profit potential
• B)strategic fit with organisation's resources
• C)strategic fit with organisation's management style
• D)strategic fit with organisation's business strategy
• E)strategic fit with organisation's other markets served

---

Definitions:

Conversion Costs

The sum of direct labor and manufacturing overhead costs, representing the expenses to convert raw materials into finished products.

Conversion Costs

The sum of labor and overhead expenses incurred to convert raw materials into finished products.

Materials Costs

Expenses directly tied to the production of goods, including raw materials and components.

FIFO Method

An inventory valuation method that assumes that the first items placed in inventory are the first sold.