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One Advantage of Computer Technology Is That Salespeople Can Now

question 73

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One advantage of computer technology is that salespeople can now track their orders in real time and, subsequently, relate the appropriate information to their customers.


Definitions:

Variable Expense

Costs that vary depending on a company's production volume or activity level.

Target Profit

The anticipated profit figure set by a business for a given period, often guiding pricing and production decisions.

Monthly Fixed Expense

Expenses that do not vary with production volume or business activity level, incurred on a monthly basis.

CM Ratio

Contribution margin ratio, showing the portion of sales revenue that is not consumed by variable costs and contributes to covering fixed costs.

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