Management Is Concerned About the Lower Level of Profitability in the Mid-Central

question 55

Multiple Choice

Management is concerned about the lower level of profitability in the Mid-Central Region.Which of the following would be a reasonable possible explanation(s) of the lower profitability for the Mid-Central Region? I.The lower number of stores in the Mid-Central Region.
II) Sales employees are not as productive in generating sales as those in other regions.
III) The Mid-Central Region has a lower gross margin.

• A)I only.
• B)II only.
• C)II and III only.
• D)I,II and III.

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Definitions:

Contract

A legally binding agreement between two or more parties that outlines obligations each party must fulfill.

Liable

Being legally responsible for something, especially in the context of debts or legal wrongs.

Estoppel

A legal principle that prevents a person from denying or asserting anything to the contrary of what has been established as the truth in legal proceedings.

Principal

Principal refers to a main party to a transaction, contract, or financial instrument, as opposed to an agent who acts on someone else's behalf.