Which of the Following Statements About Outlet Stores Is False

question 48

Multiple Choice

Which of the following statements about outlet stores is false?

• A)Outlets allow retailers to sell excess merchandise and still maintain an image of offering merchandise at full price in their primary store.
• B)The recessionary economic climate has increased demand for this type of off-price retailing.
• C)Increasingly, retailers are offering merchandise made expressly for the outlet division.
• D)Manufacturers use outlet stores to clear excess merchandise.
• E)Outlet stores attract customers who want a "corner store" environment.

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Definitions:

Substitute Inputs

Inputs or resources that can be used in place of one another in the production process without significantly affecting the output.

Production of Electricity

The process of generating electrical power through various means such as fossil fuels, nuclear power, or renewable resources.

Marginal Revenue Product

The additional revenue generated from employing one more unit of a resource or factors of production.

Marginal Revenue Product

The additional revenue generated from using one more unit of a factor of production.