Independent Retailers Who Join Together to Form Their Own Wholesaling

question 37

Multiple Choice

Independent retailers who join together to form their own wholesaling operation and conduct joint merchandising and promotional activities are called a ________.

• A)wholesaler cooperative
• B)voluntary chain
• C)purchasing cooperative
• D)retailer cooperative
• E)hyperchain

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Definitions:

Accounting Profit

Revenue minus explicit cost.

Factors of Production

The resources used in the creation of goods and services, traditionally categorized into land, labor, capital, and entrepreneurship.

Opportunity Cost

The real cost of an item: what you must give up in order to get it.

Explicit Cost

Direct, out-of-pocket payments for expenses incurred in business operations, such as wages, rent, and materials.