A Franchise Is Which of the Following

question 2

Multiple Choice

A franchise is which of the following?

• A)A form of expansion used exclusively in restaurants
• B)An intensive distribution strategy, used to maximize geographical coverage in a market area
• C)A legal contract in which a producer and channel intermediaries agree each member's rights and obligations
• D)All of the above

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Definitions:

Ending Inventory

The amount of inventory available to be sold by the end of an accounting term.

Lower-of-Cost-or-Market

An accounting principle requiring that inventory be recorded at the lesser of its historical cost or current market value.

Replacement Cost

The current cost of replacing an asset with a new one of similar kind and quality at present market prices.

Unit Cost

The cost incurred to produce, acquire, or distribute one unit of a product or service.