Which of the Following Is an Example of Cause-Related Marketing

question 70

Multiple Choice

Which of the following is an example of cause-related marketing (CRM) ?

• A) A company donates $10,000 to a school to purchase computers.
• B) A company recognizes alternative lifestyles among its employees and allows benefits accordingly.
• C) A company donates $1 to diabetes research for every purchase of its product by consumers.
• D) A company features educational health information in its product advertising.
• E) A company hires physically challenged employees.

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Definitions:

Equity Method

An accounting technique used to assess the profits earned by an investment in another company, recognizing such profits proportional to ownership share.

Intra-entity Purchases

Transactions involving the exchange of goods or services between entities within the same parent company, often leading to consolidation adjustments.

Gross Profit Rate

The ratio of gross profit to net sales, indicating the efficiency of a company in controlling its production or purchase costs.

Equity Method

An accounting technique used by firms to assess the profits earned by their investments in other companies.