A New Product to Reduce Cholesterol Is on the Market

question 28

Multiple Choice

A new product to reduce cholesterol is on the market with a price that is higher than that of the competitors' products. Where should writers introduce price in their sales message?

• A) At the beginning, as an intention getter
• B) Late in the message, along with its benefits
• C) In the end, as the reason for taking action
• D) Throughout the message, as a central selling point

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Definitions:

Prime Costs

The combined total of direct labor and direct materials cost incurred in the manufacturing of products.

Direct Materials

Raw materials that are directly traceable to the production of a specific product and are an integral part of the finished product.

Indirect Materials

Materials used in the production process that cannot be directly linked to a specific product, such as lubricants and cleaning supplies.

Managerial Accounting

The practice of identifying, measuring, analyzing, interpreting, and communicating financial information to managers for the purpose of achieving organizational goals.