Because of the Technical Complexity of the Product, the Difficulty

question 3

Multiple Choice

Because of the technical complexity of the product, the difficulty of evaluating alternatives, or the unpredictable aspects of dealing with a new supplier, this type of buying decision involves the greatest level of uncertainty.

• A)complex modified rebuy decision
• B)strategic modified rebuy decision
• C)judgmental new task decision
• D)strategic new task decision
• E)lost-for-good decision

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Definitions:

Days' Sales In Inventory

Days' Sales in Inventory is a financial ratio that indicates the average time in days that a company takes to turn its inventory into sales.

Sales On Account

Transactions where goods or services are sold and payment is to be made at a later date, often recorded as accounts receivable.

Cost Of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including the cost of materials and labor.

Accounts Receivable Turnover

A financial ratio that measures how effectively a company collects on its credit sales by comparing net credit sales with the average accounts receivable.