Suppose You Are a Senior Executive at PepsiCo and a Coca-Cola

question 104

Multiple Choice

Suppose you are a senior executive at PepsiCo and a Coca-Cola employee offers to sell you the marketing plan and sample for a new Coke product at a modest price. When asked this question in an online survey, __________ percent of marketing and advertising executives said they would buy the plan and product sample if there were no repercussions.

• A)15
• B)36
• C)52
• D)67
• E)89

---

Definitions:

Selling Price Per Unit

The amount of money charged to the customer for one unit of a product or service.

Contribution Margin

The difference between sales revenue and variable costs, used to cover fixed costs and generate profit.

Relevant Range

The range of activity within which the assumptions about variable and fixed cost behavior are valid.

Comparative Income Statements

Financial statements that present the revenues, expenses, and net incomes of a business for multiple periods side by side for comparison.