A Good Marketing Manager Knows That

question 81

Multiple Choice

A good marketing manager knows that:

• A) the costs allocated to functional accounts during a marketing cost analysis should equal-in total-those in the natural accounts.
• B) functional accounts usually are needed for determining the profitability of customers.
• C) functional accounts usually are needed for determining the profitability of products.
• D) All of these are true.
• E) Only functional accounts usually are needed for determining the profitability of customers; and functional accounts usually are needed for determining the profitability of products; are true.

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Definitions:

Net Price

The actual price paid for a product or service after deducting any discounts, rebates, or allowances from the list price.

Equilibrium Quantity

The quantity of goods or services supplied and demanded at the equilibrium price, where market forces balance.

Tax Burden

The total amount of tax that individuals or businesses must pay to governmental authorities.

Inelastic

A characteristic of demand or supply where the quantity demanded or supplied changes by a smaller percentage than the changes in price.