The Number of Calls Made on an Account Should

question 35

Multiple Choice

The number of calls made on an account should:

• A)be no more frequent than one per week
• B)correspond to the seniority of the salesperson
• C)be the same for all accounts
• D)vary from salesperson to salesperson
• E)bear some relationship to the sales and profit potential of that account

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Definitions:

AVC

Average Variable Cost, which calculates the variable costs per unit of output, encompassing costs that change with the level of output.

ATC

The cost on average to produce each unit of output, calculated by dividing total costs by the quantity of output produced.

MR = MC

Marginal Revenue equals Marginal Cost, a condition for profit maximization in firms, indicating optimal output level.

Monopolistically Competitive

A business environment where multiple organizations supply items that resemble each other but are not exact copies, enabling them to have some market dominance.