Product Advertising for a New Product Is an Example of a Customer-Sustaining

question 27

True/False

Product advertising for a new product is an example of a customer-sustaining cost in an ABC system.

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Definitions:

Profit

The financial gain obtained when the revenue from business activities exceeds the expenses, costs, and taxes needed to sustain the activity.

Commodity

A fundamental product utilized in trade that can be exchanged with other products of similar kind.

Maximise

To increase something to its greatest possible amount or degree.

Input

Resources such as labor, materials, and energy that are used in the production process of goods or services.