Harry Goes to the Local Staples Store to Purchase a Laptop.He

question 46

Multiple Choice

Harry goes to the local Staples store to purchase a laptop.He asks many questions of the salesclerk,compares various models on display,and decides on the Sony Vaio.The salesperson then recommends to Harry that he should purchase an extended warranty service contract for the computer.This is an example of

• A)inquiry selling.
• B)formula selling.
• C)method selling.
• D)suggestive selling.
• E)need-satisfaction selling.

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Definitions:

Partial Equity Method

An accounting approach where an investor recognizes income from its investment in an associate to the extent of dividends received, differing from the full equity method which recognizes income as it's earned by the associate, regardless of dividends received.

Fair Value

The exchange value of an asset or the settlement cost of a liability in a well-arranged transaction with participants in the market on the measurement occasion.

Book Value

The net value of a company's assets minus its liabilities, often used as a measure of the company's worth.

Equipment

Tangible property used in the operation of a business that is not intended for sale, including machinery, tools, and vehicles.