For Which of the Following Operations Would Telemarketing Efforts Likely

question 30

Multiple Choice

For which of the following operations would telemarketing efforts likely be the most successful and the most profitable?

• A) selling magazine subscriptions to consumers
• B) selling double-pane windows to home owners
• C) selling plastic bottles to a bottling company
• D) asking people for charitable donations
• E) selling vacation packages to people who earn $50,000 or more annually

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Definitions:

Carrying Cost

The total expense associated with holding inventory, including storage costs, insurance, and opportunity costs, among others.

Temporary Working Capital

The additional working capital a company needs to support fluctuating operational activities during seasonal or cyclical sales periods.

Working Capital

The gap between a firm's current assets and its current liabilities, showcasing the business's short-term financial health and operational effectiveness.

Working Capital Assets

Current assets that are used in the day-to-day operations of a business to fund operations and cover short-term liabilities.