A Failure Fee Is a Penalty Payment

question 161

Multiple Choice

A failure fee is a penalty payment

• A)a retailer assesses a manufacturer to handle defective new products that customers returned.
• B)a wholesaler makes to a retailer as compensation for sales not made while the product was on the shelf.
• C)a retailer makes to a manufacturer for stockouts (not keeping point-of-purchase displays continuously stocked with the new product).
• D)a manufacturer makes to a wholesaler as compensation for case-lot sales not made to retailers.
• E)a manufacturer makes to compensate a retailer for devoting valuable shelf space to a product that fails to sell.

---

Definitions:

Roadmap

A roadmap is a strategic plan that defines a goal or desired outcome and includes the major steps or milestones needed to reach it. It can apply to project management, product development, or strategic planning.

Running Business

The continuous operation of a company's core activities and functions in the pursuit of generating profits and maintaining sustainability.

Financing Needs

The requirement for funds to cover the startup, expansion, or operational activities of a business.

Supporting Detail

Additional information or data provided to back up or explain the main points in a report, proposal, or document.