In zone pricing, the seller pays the actual freight charges and bills each customer the exact amount.
Answer the following statement true (T) or false (F)
False
In zone pricing, the seller pays the actual freight charges and bills each customer within that zone for an average charge.
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Salespeople should encourage direct communication among similar functional areas.
Answer the following statement true (T) or false (F)
The information collected for an internal database is typically complete and in the proper form
Indicate whether the statement is true or false
The competitive pressures from substitute products tend to be stronger when
A. there are fewer number of substitute products. B. substitutes are priced above the market. C. substitutes have lower performance features. D. buyers incur high costs in switching to substitutes. E. good substitutes are readily available.
Jane and Walt form Yellow Corporation. Jane transfers equipment worth $950,000 (basis of $200,000) and cash of $50,000 to Yellow Corporation for 50% of its stock. Walt transfers a building and land worth $1,050,000 (basis of $400,000) for 50% of Yellow's stock and $50,000 in cash.
A. Jane recognizes no gain; Walt recognizes gain of $50,000. B. Jane recognizes a gain of $50,000; Walt has no gain. C. Neither Jane nor Walt recognizes gain. D. Jane recognizes a gain of $750,000; Walt recognizes gain of $650,000. E. None of these.