Why Would a Salesperson for Visa Stain-Resistant Fabric Give His

question 18

Multiple Choice

Why would a salesperson for Visa stain-resistant fabric give his prospective client a shirt made of the Visa fabric?

• A)The shirt is meant to be a bribe.
• B)Prospects expect gifts before they will consider a salesperson's product.
• C)The shirt is meant to gain and keep the buyer's interest in the fabric.
• D)The gift of the shirt is an unethical act but not an illegal one.
• E)The salesperson would not give the prospect a shirt because it would be both unethical and illegal.

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Definitions:

Prepaid Insurance

The portion of insurance premiums that has been paid in advance and is recognized as an asset on the balance sheet until the coverage period elapses.

Depreciable Lives

The estimated period over which a tangible asset is expected to be usable by a business, affecting its depreciation calculation.

Insurance Expense

The cost associated with purchasing insurance policies, recognized as an expense by businesses over the period the insurance coverage is applicable.

Price-earnings Ratio

A valuation metric that compares a company's current share price to its per-share earnings.