When a Firm Tries to Increase Sales by Selling Its

question 168

Multiple Choice

When a firm tries to increase sales by selling its present products in new markets,it is called

• A)product development.
• B)diversification.
• C)market penetration.
• D)mass marketing.
• E)market development.

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Definitions:

Profit Margin

Profit margin is a measure of profitability, calculated as net income divided by revenue, showing the percentage of each dollar of revenue that becomes profit.

Revenue

The total income generated by a company from its business activities, such as sales of goods or services, before any expenses are deducted.

Adjusting Entries

Entries in the ledger at the finish of an accounting cycle to assign earnings and outlays to the epoch in which they genuinely transpired.