What Is the Ebusiness Model Which Applies to Customers Offering

question 61

Multiple Choice

What is the ebusiness model which applies to customers offering goods and services to each other over the Internet?

• A)C2C
• B)C2B
• C)B2B
• D)B2C

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Definitions:

Break-even Sales

The amount of revenue needed to cover total costs, both fixed and variable, indicating the point at which a company neither makes a profit nor incurs a loss.

Margin of Safety

The difference between actual or projected sales and the sales level necessary to break even, as a buffer against uncertainty.

Contribution Margin

The difference between sales revenue and variable costs of a product or service, indicating how much contributes towards covering fixed costs and profit.

Variable Costs

Costs that vary in direct proportion to changes in the level of production or sales.