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Carol Manages a Cell Phone Store and Is Debating How

question 93

Essay

Carol manages a cell phone store and is debating how much personal selling and customer service she should utilize as part of her promotion strategy.What would you recommend and why?


Definitions:

Sales Volumes

The quantity of products or services sold by a company within a specific period.

Contribution Margin Per Unit

The difference between the selling price per unit and variable cost per unit of a product.

Operating Leverage

A measure of how revenue growth translates into growth in operating income, influenced by the proportion of fixed costs in total costs.

Net Operating Income

Net Operating Income is the total profit of a company after deducting operating expenses but before interest and taxes.

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