Which of the Following Statements Regarding the Use of the Portfolio

question 155

Multiple Choice

Which of the following statements regarding the use of the portfolio model to allocate selling effort is false?

• A) More attractive accounts receive more selling effort.
• B) It can be a valuable tool for helping sales managers improve their account effort allocation strategy.
• C) All accounts are classified into categories of similar size to determine the level of sales effort needed.
• D) Each account served by a firm is considered as part of an overall portfolio of accounts.
• E) Each account segment represents a different situation and should receive a different level of selling effort.

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Definitions:

UCC

The Uniform Commercial Code, a comprehensive set of laws governing all commercial transactions in the United States.

Unsecured Parties

Creditors or entities that hold claims or debts without a guarantee or collateral to secure the debt.

Secured Creditors

are creditors who hold a security interest in the debtor's assets as collateral for the money lent, giving them a claim to such assets in case of default.

Secured Interest

A legal claim or lien on collateral that gives a creditor the right to take property if a debtor fails to fulfill their obligations.