Answer the Following Questions Using the Information Below:
Hewitt Sporting

question 89

Multiple Choice

Answer the following questions using the information below:
Hewitt Sporting Goods Store is a small company that has hired you to perform some management advisory services.The following information pertains to 2018 operations.
$\begin{array}{lr}\text { Sales (2000 cricket bats) } & \$ 900000 \\\text { Cost of goods sold } & 400000 \\\text { Store manager's salary per year } & 70000 \\\text { Operating costs per year } & 157000 \\\text { Advertising and promotion per year } & 15000 \\\text { Commissions ( } 4 \% \text { of sales) } & 36000\end{array}$
-Which cost estimation method is being used by Hewitt Sporting Goods Store?

• A)The conference method
• B)The industrial engineering method
• C)The account analysis method
• D)The quantitative analysis method

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Definitions:

Business-format Franchising

A franchising arrangement where the franchisee receives not just a brand name but an entire system for operating the business.

Product-distribution Franchising

A type of franchising that allows the franchisee to sell the franchisor's products and to use the franchisor's trademark and distribution system.

Turnkey Approach

A service or product solution that is delivered in a complete and ready-to-use condition, requiring minimal effort from the buyer to implement or activate.

Terminate

Refers to bringing an action or process to an end; to conclude or finish.