Which of the Following Is True About Convenience Stores

question 52

Multiple Choice

Which of the following is true about convenience stores?

• A) They handle deep assortments in a limited number of product categories.
• B) They compete on the basis of offering a good selection in a number of different product categories and offering lower prices on products in their large assortments.
• C) They are retailers whose primary advantages to consumers are suitable location, close-in parking, and easy entry and exit.
• D) They are large, low-priced limited-line retail chains that attempt to dominate a particular product category.

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Definitions:

Adjusted Basis

The value of an asset for tax purposes, adjusted for factors like depreciation or improvements.

Traditional IRA

A Traditional Individual Retirement Account (IRA) is a type of retirement savings account that allows pre-tax contributions, with the investments growing tax-deferred until withdrawals begin at retirement.

Qualified Profit-sharing Plan

A retirement plan that allows employees to share in the profits of their company, contributing to their retirement savings.

Positive Net Income

A financial situation where revenues exceed expenses, resulting in a net profit.