Which of the Following Statements Is True of the Use

question 56

Multiple Choice

Which of the following statements is true of the use of catalogs in the direct-marketing industry?

• A)One of the disadvantages of catalogs is that they can be used only in the form of traditional hard copies; they cannot be used in conjunction with the Internet.
• B)The number of catalogs mailed and the number of traditional catalog shoppers has increased in the recent years.
• C)The emotional appeal of a traditional catalog exceeds that of online catalogs, and ultimately is one of the best ways to drive consumers online.
• D)Catalogs are ineffective due to their limited segmentation characteristics.
• E)Catalogs are designed for stimulating an immediate purchase behavior in customers; however, they are ineffective in attracting publicity.

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Definitions:

Unearned Revenue

Income received by a company for goods or services yet to be provided or delivered; it is recorded as a liability on the balance sheet until the service or product is delivered.

Net Income

The total profit or loss of a company after all expenses, taxes, and costs have been subtracted from total revenue.

Expenses

Costs incurred in the process of earning revenue, typically including things like rent, salaries, and utilities.

Prepaid Advertising

Prepaid advertising refers to the costs paid in advance for advertising services or spaces that will be used over time, recognized as an asset until the advertising takes place.