Quota Levels Should Typically Be

question 50

Multiple Choice

Quota levels should typically be:

• A) set at the sales forecast level.
• B) set at the sales potential level.
• C) set between the sales forecast and sales potential levels.
• D) set below the sales potential levels.
• E) based only on historical sales.

Understand the role of critical thinking in evaluating evidence and forming logical conclusions.

Describe the communication mediums and channels used in organizational settings.

Recognize the importance of feedback in the communication process and how it can be utilized to enhance message effectiveness.

Identify and overcome potential barriers in the communication process.

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Definitions:

Efficiency Loss

Reductions in combined consumer and producer surplus caused by an underallocation or overallocation of resources to the production of a good or service. Also called deadweight loss.

Deadweight Loss

A loss of economic efficiency that occurs when the equilibrium for a good or service is not achieved or is not achievable.

Actual Production

The quantity of goods or services produced by a firm, industry, or economy within a specific period, factual and not estimated.

Consumer Surplus

The variance between what consumers are ready and capable of spending on a product or service and the actual sum they end up paying.