Which of the Following Represents a Reason for a Firm's

question 172

Multiple Choice

Which of the following represents a reason for a firm's use of personal selling promotions?

• A) It is the only form of selling that works.
• B) It provides a personal link between the seller and the buyer.
• C) The salesforce has the capability of contacting the greatest number of potential customers.
• D) Personal selling provides the lowest promotional costs per contact.
• E) Sales promotions must be convenient and accessible when the purchase decision is made.

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Definitions:

Government Bond Rate

The interest rate offered by government securities, which is often seen as a risk-free benchmark against which other investment yields are measured.

Rate Of Inflation

The magnitude of acceleration in average prices for goods and services, which causes a downfall in the ability to procure.

Treasury Bills

Short-term government securities with maturity periods of one year or less, sold to finance the national debt.

Capital Gains

The profit earned from selling an asset for more than its original purchase price.