It Is Important for Salespeople to Have a Complete Understanding

question 101

Multiple Choice

It is important for salespeople to have a complete understanding of their companies' pricing policies because:

• A) They are often responsible for negotiating price with their customers.
• B) Then they can arbitrarily charge different customers different prices.
• C) They can legally obligate the company to a quoted price.
• D) Then they will be perceived as more dependable.
• E) Both a and c are correct.

---

Definitions:

Debt Securities

Financial instruments representing a loan made by an investor to a borrower, typically involving periodic interest payments and the return of the principal at maturity.

Life Insurance Reserves

Funds that life insurance companies are required to set aside to ensure they can meet future obligations to policyholders.

Pension Reserves

Funds set aside by an organization to meet future pension liabilities for its employees.

Money Market Securities

Short-term financial instruments that are considered relatively safe and liquid, including treasury bills, certificates of deposit, and commercial paper.