Approaches Used to Rank Products for Revenue Allocation Can Include

question 27

Multiple Choice

Approaches used to rank products for revenue allocation can include ________.

• A) surveying suppliers on the importance of each product
• B) using recent data on stand-alone sales performance
• C) having sales agents use their knowledge and intuition
• D) surveying middlemen on the importance of each product

---

Definitions:

NPV

Net Present Value, a calculation that discounts future cash flows to their present value to evaluate the profitability of an investment or project.

Resource Constraint

Limitations on the availability of resources such as time, money, and labor that can restrict project progress or business growth.

Accounting Rate of Return

A financial metric used to measure the profitability of an investment, calculated by dividing the average annual profit by the initial investment cost.

Financial Statement

A formal record of the financial activities and position of a business, person, or other entity, presented in a structured way.