A Company Has Two Distribution Channels: Wholesale and Business Sales

question 128

Multiple Choice

A company has two distribution channels: wholesale and business sales. Which of the following costs would be allocated as distribution-channel-level costs when analyzing the profitability of customer distribution channels?

• A) sales order costs
• B) customer visit costs
• C) salary of the wholesale distribution channel manager
• D) corporate adminstration costs

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Definitions:

Going Out

Engaging in social activities outside of one's home, typically for leisure or entertainment.

Initiative Versus Guilt

This term refers to the third stage of Erik Erikson's theory of psychosocial development, occurring roughly between the ages of three and five, during which children assert themselves more frequently and begin to plan activities, make up games, and initiate activities with others. If this initiative is discouraged, the child begins to feel guilty about their desires and dreams.

Autonomy Versus Shame

A developmental stage described by Erik Erikson where children learn to develop a sense of personal control and independence. Failure at this stage can result in feelings of shame and doubt.

Industry Versus Inferiority

Erikson’s fourth stage in which children attempt new skills, developing feelings of competence in their success or feeling inferior or incompetent.