Which of the Following Is NOT Recommended as a Merchandise

question 89

Multiple Choice

Which of the following is NOT recommended as a merchandise location practice?

• A)Retailers should strategically place impulse and demand/destination merchandise throughout the store so they can increase the chances that a customer will shop the entire store and focus on the merchandise with a GMROI.
• B)Retailers should place merchandise with a high GMROI at or close to the store entrance to attract customers' attentions and sell fast.
• C)Retailers should display some of their most compelling merchandise in the strike zone to create desirable first impression of the store.
• D)Retailers should display high GMROI products at the right-hand side of the store.
• E)A retailer should strategically cluster complementary products together to facilitate multiple purchases.

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Definitions:

Indirect Method

A method of computing the net cash provided by operating activities that starts with net income and adjusts it to a cash basis. It is also known as the reconciliation method.

Inventory

Raw materials, work-in-process, and finished goods that a company holds with the intent to sell or use in production.

Wages Payable

An account that records the amounts owed to employees for work performed that have not yet been paid.

Cash Flow

The total sum of cash and cash-like assets moving in and out of a company.