Manufacturers' Agents Are Agents Who

question 365

Multiple Choice

Manufacturers' agents are agents who

• A)represent a single producer and carry all products in the producer's lines.
• B)work for several producers and carry noncompetitive,complementary merchandise in an exclusive territory.
• C)take title to merchandise but sell only to buyers that call on them,pay cash for merchandise,and furnish their own transportation for merchandise.
• D)own the merchandise they sell but do not physically handle,stock,or deliver it.
• E)furnish the racks or shelves that display merchandise in retail stores,perform all channel functions,and sell on consignment to retailers.

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Definitions:

Consumer Surplus

The discrepancy between the amount consumers are prepared to pay for a product or service and the price they actually spend.

Consumer Surplus

Consumer surplus is the difference between the total amount that consumers are willing and able to pay for a good or service and the total amount they actually pay.

Consumer Surplus

The contrast between the theoretical sum consumers are prepared to pay and the practical sum they pay for a good or service.

Consumer Surplus

The difference between what consumers are willing to pay for a good or service compared to its market price, representing their net benefit.