All of the Following Are True Statements Regarding the Use

question 71

Multiple Choice

All of the following are true statements regarding the use of the telephone in selling except:

• A)The telephone should be used exclusively to handle marginal accounts.
• B)Some customers prefer telephone contact for certain types of business transactions.
• C)The telephone provides instant communication at a low cost.
• D)The telephone is an effective way to keep the customer informed.
• E)Telephones can be used to build customer goodwill.

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Definitions:

Operating Activities

The principal revenue-producing activities of an entity and other activities that are not investing or financing activities.

Issuance

The process of distributing new securities, such as stocks or bonds, to investors, often to raise capital for a corporation.

Bond Payable

A liability represented by a bond that the issuing entity must repay at a future date, typically including interest payments.

Purchase

The action of acquiring goods or services in exchange for money, marking an increase in the buyer's inventory or assets.