Darren wants to go into the business of direct merchandise sales. What are the legal problems that Darren might encounter in telemarketing? In selling door-to-door? In marketing over the Internet? In soliciting sales through the mail?
What will be an ideal response?
Telemarketers are the target of many consumer complaints, and must reveal extensive information to comply with state and federal laws. Telemarketers must tell customers that they are receiving a sales call, name the business and products to be sold, state the total cost of the products, and make other disclosures. Door-to-door salespersons make contracts that buyers may rescind within three days of signing. This federally-mandated "cooling-off" period has an impact on sales. The Internet is a rapidly growing tool for sales, but Darren should be aware that it is not unregulated. All laws that apply to more traditional forms of commerce, such as deceptive practice laws, generally apply to Internet commerce. Finally, direct mail is appropriate for advertisements, but Darren should know that unsolicited products sent through the mail can be kept by their recipients without tendering payment. In general, Darren should know that legitimate businesses can and do make proper and profitable use of all these sales methods, but state and federal laws police all of them for fraudulent operators.
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a. declining-balance method. b. sum-of-the-years'-digit method. c. units-of-production method. d. straight-line method.
Which one of the following is a more serious concern in terms of an adverse variance from budget?
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Crestar Company reported net income of $142,600 on 26,000 average outstanding common shares. Preferred dividends total $12,600. On the most recent trading day, the preferred shares sold at $56 and the common shares sold at $86. What is this company's current price-earnings ratio? (Do not round your intermediate calculations.)
A. 18.23 B. 17.20 C. 15.68 D. None of these answers is correct.
In the context of business opportunities in the government market, the General Services Administration handles
A. administrative tasks for small service customers. B. complaints filed against suppliers by organizational buyers. C. vendor analysis for the core industries. D. information on the prices of luxury goods in the U.S. market. E. vendor contracts for off-the-shelf goods and services.