Tourism Products Are Generally Considered to Have an Elastic Demand

question 2

Multiple Choice

Tourism products are generally considered to have an elastic demand because _______________.

• A) customers are not price-sensitive
• B) travel is a luxury, not a life-sustaining product
• C) customers tend to react very dramatically to promotions
• D) people have a difficult time controlling their spending patterns

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Definitions:

Job Cost Sheets

Job cost sheets are detailed records used in cost accounting to track the expenses associated with a specific job or project.

Labour Time Sheet

A record detailing the amount of time an employee spends on various tasks, used for payroll and costing purposes.

Indirect Labour Hours

The hours worked by employees that cannot be directly linked to specific products or services.

Direct Labour Hours

The total hours worked by employees directly involved in the manufacturing process, usually influencing variable expenses.