Venus Corp

question 27

Multiple Choice

Venus Corp. is a company that sells collectible plates. If you order one plate from the company, you will receive multiple mails each month providing you with information relating to new products and offers. Which promotional element is Venus Corp. using in this scenario?

• A)Advertising
• B)Sale promotion
• C)Direct marketing
• D)Publicity
• E)Pricing

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Definitions:

Variable Costs

Costs that vary in direct proportion to the level of production or sales volume, like raw materials and direct labor.

Fixed Costs

Costs that do not vary with the level of production or sales over a specified period, such as rent or salaries.

Operating Income

The profit realized from a business's operations after subtracting operating expenses from gross profits.

Contribution Margin

The residual amount from sales income post the subtraction of variable costs, signifying its role in offsetting fixed expenses and creating profit.