A Good Channel Captain Knows That

question 155

Multiple Choice

A good channel captain knows that

• A)direct-to-customer channels usually cost less and perform more efficiently than indirect channels.
• B)marketing functions can be shifted and shared within a channel but they cannot be completely eliminated.
• C)a traditional channel system works best.
• D)some marketing functions can usually be completely eliminated by using short channels instead of long channels.
• E)None of these answers is correct.

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Definitions:

Physical Units Method

An accounting approach used to allocate joint costs among products based on the number of physical units at a split-off point.

Joint Costs

Costs incurred in the process of producing two or more products before the point where these products are separately identifiable.

Skimmed Milk

Milk from which the majority of the fat content has been removed, resulting in a lower calorie option.

Joint Costs

Costs incurred in the process of producing two or more products at the same time, where the costs cannot be separately identified.