Factors That Contribute to the Use of More Than One

question 27

Multiple Choice

Factors that contribute to the use of more than one distribution channel for the same product include:

• A)various market segments are served.
• B)the needs and buying processes employed by prospective customers varies.
• C)conflict between competing channels is relatively rare.
• D)all of the above
• E)both (a)and (b)

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Definitions:

Annual Depreciation Expense

The portion of the cost of a fixed asset that is expensed each year of its useful life, representing wear and tear, decay, or decrease in value.

Cash Inflows

Refers to the money received by a business from its operational, investment, and financing activities.

Sunk Cost

Costs that are already spent and cannot be retrieved or reimbursed.

Unrecoverable Cost

Expenses that have been incurred and cannot be recovered or refunded, also known as sunk costs.