For a Particular Product in High Demand,a Company Decreases the Sales

question 35

Multiple Choice

For a particular product in high demand,a company decreases the sales price and increases the sales commission.These changes will not increase

• A)sales volume.
• B)total selling expenses for the product.
• C)the product contribution margin.
• D)the total variable cost per unit.

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Definitions:

Idle Time

Periods when resources, such as employees or machines, are not productive, often due to a lack of work or inefficiency.

Machine 1

A term referring to a specific machine within a series or factory setup, usually designated as the first in a sequence or category.

Dependent Demand

The demand for a product that is directly linked to the demand for another product, such as the demand for parts or raw materials needed to produce a final product.

MRP

Material Requirements Planning, a production planning, scheduling, and inventory control system used to manage manufacturing processes.