With Regard to Customer Defection, Which of the Following Statements

Multiple Choice

With regard to customer defection, which of the following statements is incorrect?

A) Defection rates are determined by customer loyalty.
B) The longer a company holds on to a customer, the greater is the volume of customer-generated unit sales.
C) Lowering customer defection rates creates a higher cost structure.
D) The longer a company retains a customer the higher the average unit cost of each sale.
E) There is a positive relationship between the length of time that a customer stays with the company and profit per customer.