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Click It, Inc.
Travis is a salesperson for Click It, Inc.Click It does not sell products with its own brand name.Instead, its products are created for different retail stores and carry the store brand.Travis thought that several changes needed to be made to a particular product, but Click It management reminded him that the stores, not Click It, owned the brand.
However, because Click It had been concerned about dropping sales, management listened to Travis's concerns about the company's pricing.He suggested using a different pricing strategy.More specifically, he felt that the company should incorporate a multiple-unit pricing strategy because it would then allow Click It to set a single price for multiple units.This had the potential of increasing sales and therefore profits, so management agreed to consider Travis's suggestion.
-Refer to Click It, Inc.The multiple-unit pricing strategy suggested by Travis is a ____ strategy.
Pre-Tax Operating Loss
The loss a company incurs from its operations before accounting for taxes, indicating how well the core business is performing.
Carryback
A tax provision that allows individuals or businesses to apply a current year's net operating losses to previous years' profits to reduce tax liabilities.
Carryforward
A tax policy that allows individuals or companies to apply current year’s unused deductions or credits to future tax years.
Corporation
A legal entity that is separate from its owners, having its own rights and obligations, and is able to own assets, incur liabilities, and sell securities.
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