Regarding the Use of Examples, Anecdotes, Single Cases, and Testimonials

question 86

Multiple Choice

Regarding the use of examples, anecdotes, single cases, and testimonials in advertising, which of the following statements is TRUE?

• A) They should be viewed as valid indicators of the authenticity of the product or service.
• B) They all create a courtesy bias within the customer.
• C) They are all potentially deceptive because individual cases tell us nothing about what is true in general.
• D) They are all invalid due to the Barnum effect.

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Definitions:

Normal Capacity

The maximum production level or volume of activity that can be achieved under normal conditions by a business.

Normal Spoilage Costs

Costs associated with the expected amount of waste or inefficiency during a production process, considered a normal part of manufacturing.

Direct Materials Price Standard

The predetermined cost per unit of material, used in setting a budget and controlling costs.

Handling Costs

Expenses associated with the processing, transporting, and storing of goods throughout the supply chain.