Which of the Following Statements Regarding Gatorade's Branding Is Most

question 77

Multiple Choice

Which of the following statements regarding Gatorade's branding is most accurate?

• A) Gatorade uses the same formula for all its products and simply changes the brand name when introducing new flavors.
• B) Gatorade's success can be attributed to management's decision to find and then stick with one channel of distribution.
• C) Gatorade changed its color, packaging, and size of items in the product line for the domestic market so that they would not conflict with those marketed to foreign markets.
• D) Gatorade has used the same packaging since the product debuted in 1965.
• E) Gatorade has changed its product formulation, packaging, and advertising over the years in response to changes in the marketplace.

---

Definitions:

Net Realizable Value

The amount of cash expected to be received from the sale of inventory, after deducting the costs necessary to make the sale.

Bad Debt

Accounts receivable that a company is unable to collect, representing a financial loss when customers fail to fulfill their payment obligations.

Generally Accepted Accounting Principles

A set of accounting standards and practices that are used to prepare financial statements in the United States, ensuring consistency and comparability across businesses.

Net Realizable Value

The estimated selling price of goods minus the costs of their completion and disposal, used in determining the value of inventory on a balance sheet.