A Photocopier Salesperson Is Trying to Determine How Often He

question 80

Multiple Choice

A photocopier salesperson is trying to determine how often he should call on a new account in order to provide proper service.He most likely has to consider all of the following EXCEPT:

• A) present and potential sales.
• B) servicing needs of purchased products.
• C) number of product lines sold to the account.
• D) number of orders expected annually from the account.
• E) the necessity and cost of overnight travel to visit the account.

---

Definitions:

Residual Dividend Policy

A strategy where dividends are based on earnings minus funds the firm retains to finance the equity portion of its investment and working capital requirements.

Special Dividend

A one-time distribution of earnings to shareholders, oftentimes an indication of excess cash the company wants to return.

Homemade Dividend

A concept where investors create their own dividend policy by selling a portion of their portfolio of equities instead of relying on company-issued dividends.

Liquidating Dividend

A type of dividend paid by a company that is returning a portion of the capital to its shareholders, typically during dissolution.