Question 1

Jim Bradley represents several producers and is paid a commission based on invoice values.Which of the following types of intermediary is Jim?

Accepted Answer

A)  Wholesaler 
B)  Sales office 
C)  Sales branch 
D)  Agent/broker 
E)  Rack jobber 
A)  Wholesaler 
B)  Sales office 
C)  Sales branch 
D)  Agent/broker 
E)  Rack jobber

Question 2

Direct selling is the main strategy of such firms as Tupperware,Amway,and Avon.

Accepted Answer

A) True 
 B)False

Question 3

Progressive Casualty Insurance Company sets insurance rates for drivers based on their real-time driving behaviour,which is based on information that is generated by the automobile's GPS system.Progressive uses a dynamic pricing system.

Accepted Answer

A) True 
 B)False

Question 4

A wholesale grocer purchases groceries by truckload or railroad boxcar load and then fills individual grocery store orders from inventory.What transportation method will typically be used to ship these grocery orders to supermarkets within a 100-mile radius of the warehouse?

Accepted Answer

A)  Air 
B)  Rail 
C)  Water 
D)  Pipeline 
E)  Truck 
A)  Air 
B)  Rail 
C)  Water 
D)  Pipeline 
E)  Truck

Question 5

Price lining is generally a more effective pricing tactic than psychological pricing.

Accepted Answer

A) True 
 B)False

Question 6

What are the basic types of retail outlets?

Accepted Answer

The three basic types are product line r

Question 7

When Carbonite Inc.started its online backup service,it charged "one flat low price" no matter how many computer files you needed to back up.Carbonite was using penetration pricing.

Accepted Answer

A) True 
 B)False

Question 8

Cost-oriented pricing of products takes into account the supply and demand for the product at various prices.

Accepted Answer

A) True 
 B)False

Question 9

In a normal workday,Jerry marks prices,sets up display racks,and displays products in one retail outlet,then moves on to another outlet to check inventories and shelve products.Jerry is a(n)

Accepted Answer

A)  retail assistant 
B)  rack jobber 
C)  full-function wholesaler 
D)  agent 
E)  broker 
A)  retail assistant 
B)  rack jobber 
C)  full-function wholesaler 
D)  agent 
E)  broker

Question 10

What are the two basic tools used in price-setting?

Accepted Answer

A)  Profit maximization and market share 
B)  Advertising and sales promotion 
C)  Cost-oriented pricing and break-even analysis 
D)  Cost-oriented pricing and profit maximization 
E)  Cost-oriented pricing and market share 
A)  Profit maximization and market share 
B)  Advertising and sales promotion 
C)  Cost-oriented pricing and break-even analysis 
D)  Cost-oriented pricing and profit maximization 
E)  Cost-oriented pricing and market share

Question 11

A product's cost plus ________ results in the sales price.

Accepted Answer

A)  margin 
B)  variable price 
C)  fixed price 
D)  markup 
E)  break-even price 
A)  margin 
B)  variable price 
C)  fixed price 
D)  markup 
E)  break-even price

Question 12

Online retail sales accounted for about 25 percent of total retail sales in 2011.

Accepted Answer

A) True 
 B)False

Question 13

Psychological pricing involves

Accepted Answer

A)  setting an initial low price to establish a new product in the market. 
B)  setting prices in uneven dollar amounts. 
C)  setting a limited number of prices for certain categories of products. 
D)  setting an initial high price to cover new product costs and generating a profit. 
E)  taking advantage of the fact that consumers do not always respond rationally to stated prices. 
A)  setting an initial low price to establish a new product in the market. 
B)  setting prices in uneven dollar amounts. 
C)  setting a limited number of prices for certain categories of products. 
D)  setting an initial high price to cover new product costs and generating a profit. 
E)  taking advantage of the fact that consumers do not always respond rationally to stated prices.

Question 14

GSX Ltd.leases bulk space from other carriers,such as railroads or airlines.It then resells parts of that space to smaller shippers.GSX is a(n)

Accepted Answer

A)  contract carrier. 
B)  private carrier. 
C)  freight forwarder. 
D)  private warehouse 
E)  intermodal carrier. 
A)  contract carrier. 
B)  private carrier. 
C)  freight forwarder. 
D)  private warehouse 
E)  intermodal carrier.

Question 15

Shiras Watch Depot prices all watches at $150.The variable cost per watch is $70 and the fixed costs are $55 000.What is Shiras' break-even point in units?

Accepted Answer

A)  687.50 
B)  806.25 
C)  702.00 
D)  300.00 
E)  453.75 
A)  687.50 
B)  806.25 
C)  702.00 
D)  300.00 
E)  453.75

Question 16

Identify three degrees of distribution strategies.

Accepted Answer

Intensive,

Question 17

Maritime Ltd.,a wholesaler that sells thousands of different products to business and institutional customers,relies mostly on sales promotion and advertising.The company is looking at various ways to reduce expenses,and the vice-president feels this can be achieved by shifting one of the company's distribution centres to a low-rent,low-tax area.If the following facts were known,which one would strengthen the vice-president's argument?

Accepted Answer

A)  Maritime recently signed a long-term lease for the distribution centre's current location. 
B)  Taxes will increase by a larger percentage than the percentage that rents will decrease. 
C)  Maritime's competitors can also move to the low-rent,low-tax area. 
D)  No changes in tax policy are expected in the proposed area. 
E)  Changes in the macroeconomic environment that are beyond Maritime's control may reduce costs at their current location. 
A)  Maritime recently signed a long-term lease for the distribution centre's current location. 
B)  Taxes will increase by a larger percentage than the percentage that rents will decrease. 
C)  Maritime's competitors can also move to the low-rent,low-tax area. 
D)  No changes in tax policy are expected in the proposed area. 
E)  Changes in the macroeconomic environment that are beyond Maritime's control may reduce costs at their current location.

Question 18

Identify three types of product line retailers.

Accepted Answer

Department stores,su

Question 19

Channel number one of the consumer products distribution network has the following participants:

Accepted Answer

A)  manufacturer - agent - consumer 
B)  manufacturer - industrial user 
C)  manufacturer - consumer 
D)  manufacturer - retailer - consumer 
E)  manufacturer - wholesaler - retailer - consumer 
A)  manufacturer - agent - consumer 
B)  manufacturer - industrial user 
C)  manufacturer - consumer 
D)  manufacturer - retailer - consumer 
E)  manufacturer - wholesaler - retailer - consumer

Question 20

How does syndicated selling work?

Accepted Answer

One web site offers

Jim Bradley represents several producers and is paid a commission based on invoice values.Which of the following types of intermediary is Jim?

Direct selling is the main strategy of such firms as Tupperware,Amway,and Avon.

Progressive Casualty Insurance Company sets insurance rates for drivers based on their real-time driving behaviour,which is based on information that is generated by the automobile's GPS system.Progressive uses a dynamic pricing system.

A wholesale grocer purchases groceries by truckload or railroad boxcar load and then fills individual grocery store orders from inventory.What transportation method will typically be used to ship these grocery orders to supermarkets within a 100-mile radius of the warehouse?

Price lining is generally a more effective pricing tactic than psychological pricing.

What are the basic types of retail outlets?

When Carbonite Inc.started its online backup service,it charged "one flat low price" no matter how many computer files you needed to back up.Carbonite was using penetration pricing.

Cost-oriented pricing of products takes into account the supply and demand for the product at various prices.

In a normal workday,Jerry marks prices,sets up display racks,and displays products in one retail outlet,then moves on to another outlet to check inventories and shelve products.Jerry is a(n)

What are the two basic tools used in price-setting?

A product's cost plus ________ results in the sales price.

Online retail sales accounted for about 25 percent of total retail sales in 2011.

Psychological pricing involves

GSX Ltd.leases bulk space from other carriers,such as railroads or airlines.It then resells parts of that space to smaller shippers.GSX is a(n)

Shiras Watch Depot prices all watches at $150.The variable cost per watch is $70 and the fixed costs are $55 000.What is Shiras' break-even point in units?

Identify three degrees of distribution strategies.

Identify three types of product line retailers.

Channel number one of the consumer products distribution network has the following participants:

How does syndicated selling work?

Understanding the Canadian Business System

Understanding the Environments of Business

Conducting Business Ethically and Responsibly

Understanding Entrepreneurship, small Business, and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters

Exam 17: Pricing and Distributing Goods and Services

Jim Bradley represents several producers and is paid a commission based on invoice values.Which of the following types of intermediary is Jim?

Direct selling is the main strategy of such firms as Tupperware,Amway,and Avon.

Progressive Casualty Insurance Company sets insurance rates for drivers based on their real-time driving behaviour,which is based on information that is generated by the automobile's GPS system.Progressive uses a dynamic pricing system.

A wholesale grocer purchases groceries by truckload or railroad boxcar load and then fills individual grocery store orders from inventory.What transportation method will typically be used to ship these grocery orders to supermarkets within a 100-mile radius of the warehouse?

Price lining is generally a more effective pricing tactic than psychological pricing.

What are the basic types of retail outlets?

When Carbonite Inc.started its online backup service,it charged "one flat low price" no matter how many computer files you needed to back up.Carbonite was using penetration pricing.

Cost-oriented pricing of products takes into account the supply and demand for the product at various prices.

In a normal workday,Jerry marks prices,sets up display racks,and displays products in one retail outlet,then moves on to another outlet to check inventories and shelve products.Jerry is a(n)

What are the two basic tools used in price-setting?

A product's cost plus ________ results in the sales price.

Online retail sales accounted for about 25 percent of total retail sales in 2011.

Psychological pricing involves

GSX Ltd.leases bulk space from other carriers,such as railroads or airlines.It then resells parts of that space to smaller shippers.GSX is a(n)

Shiras Watch Depot prices all watches at $150.The variable cost per watch is $70 and the fixed costs are $55 000.What is Shiras' break-even point in units?

Identify three degrees of distribution strategies.

Identify three types of product line retailers.

Channel number one of the consumer products distribution network has the following participants:

How does syndicated selling work?

Understanding the Canadian Business System

Understanding the Environments of Business

Conducting Business Ethically and Responsibly

Understanding Entrepreneurship, small Business, and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters