Which of the Following Is the Best Example of the Long

question 66

Multiple Choice

Which of the following is the best example of the long tail approach to selling?

• A) Nearly 20 percent of the videos delivered by Netflix are older or obscure titles from its vast collection of videos.
• B) Kraft Foods focuses on the 20 percent of U.S. households that purchase 80 percent of the Miracle Whip the company markets.
• C) Barnes & Noble stocks the most popular books and magazines in its retail stores.
• D) Google lets advertisers target certain ads to certain segments of search engine users.
• E) Staples segments its business-to-business markets based on sales volume.

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Definitions:

Recoverable Amount

The recoverable amount is the higher of an asset's fair value less costs to sell and its value in use.

Carrying Amount

The book value of assets and liabilities recognized in a company's financial statements, calculated as the original cost minus any depreciation, amortization, or impairment costs.

Equity Method

An accounting technique used to record investments in other companies, recognizing income and changes in investment value.

Dividends

Distributions of earnings provided by a company to its stockholders, typically coming from the company's profits.