Bill Is in the Process of Reviewing His Accounts

question 78

Multiple Choice

Bill is in the process of reviewing his accounts.Bill classified his accounts using the Single-Factor Analysis method and is now developing his sales strategy.Bill should:

• A) Spend most of his time attempting to develop B accounts into A accounts.
• B) Turn over the A accounts to an account manager and begin looking for more C accounts.
• C) Allocate the greatest portion of his time to the A and B accounts.
• D) Allocate his time to the accounts designated as weak competitive position but high opportunity.
• E) Divide his time equally among the accounts because each is as important as the other.

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Definitions:

Incremental Value

The additional value generated by undertaking a specific action or project, calculated as the difference between the value with and without the action.

All-Equity Firms

Companies that are financed solely through the issuance of equity, without taking on any debt.

Cash Acquisition

A method of acquiring another company by purchasing its shares or assets using cash as the form of compensation.