Managers Who Want to Calculate the Full Costs of Serving

question 107

True/False

Managers who want to calculate the full costs of serving customers must allocate all corporate,division and distribution-channel costs to customers.

---

Definitions:

Insurance Company

A business that provides coverage, in the form of compensation resulting from loss, damages, injury, treatment, or hardship in exchange for premium payments.

Coinsurance Clause

A provision in insurance policies that requires the policyholder to bear a share of the loss to some specified extent.

Premium Rate

Premium Rate refers to the higher than standard price or fee charged for a product, service, or insurance policy, often in exchange for additional benefits or coverages.

Fire Damages

Loss or destruction of property resulting from fire, encompassing structural and content damage.