Most Companies Today Are Moving to the Concept of a "Leveraged

question 96

Multiple Choice

Most companies today are moving to the concept of a "leveraged sales force" which is defined as

• A) using a combination of inside salespeople and telemarketers.
• B) using overseas inbound sales centres and a direct sales force.
• C) using a combination of sales force, inside salespeople, and through the Web ordering.
• D) using a combination of telemarketers and the Web for ordering.
• E) using a direct sales force, a representative sales force, and inside salespeople.

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Definitions:

Variable Costs

Costs that shift in direct correlation with production or sales figures, notably direct labor and raw materials.

Allocated General Overhead

involves distributing indirect costs across different departments or products to reflect their share of resources used.

Financial Advantage

The benefit gained in financial terms, which may come from different sources such as cost savings, increased revenue, or investment returns.

Fixed Manufacturing Expenses

Fixed manufacturing expenses are overhead costs that do not change with the level of production output, such as rent for a factory building.