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

---

Definitions:

Predetermined Overhead Rate

A rate used to allocate manufacturing overhead costs to products, calculated before the accounting period begins based on estimated costs and activity levels.

Traditional Costing

An accounting method that assigns overhead costs to products based on a standard measure, often leading to less accuracy in modern, complex manufacturing environments.

Direct Labor-Hours

The total hours worked by employees that are directly involved in the production process.

Unit Product Cost

Unit product cost is the total cost (including materials, labor, and overhead) divided by the total number of units produced, representing the cost per unit.