Day 1: Buying and Selling: Mark Up, Mark Down, Mark On

1. When opening a business, what is the most important decision that you must make?

• A.) Determine the price of the raw materials

• B.) Check if the product is on peak

• C.) Decide on how you want to price your product

• D.) Consider the customers preference

2. Why does the price is the most flexible marketing element?

• A.) Because it will lead you to your profit

• B.) Because it can change at some time due to some circumstances

• C.) Because of the raw materials cost

• D.) All of the above

3.) Some business establishments go on sale during specific seasons, why?

• A.) To attract more customers

• B.) To gain more profit

• C.) To recognize their business/product

• D.) All of the above

4.) During this season, stores need to mark down their prices in order to dispose whatever stocks they have.

• A.) Peak Season

• B.) Down Season

• C.) High Season

• D.) Off-peak Season

5.) In establishing the initial price of a products must be used.

• A.) Pricing

• B.) Ingredients

• C.) Cost-based pricing

• D.) Cost

6.) It is used as a key strategic tool for creating and capturing customer value and building customer relationships.

• A.) Pricing

• B.) Ingredients

• C.) Cost-based pricing

• D.) Cost

7. Mark wants to develop a new product, what are the things he need to consider in creating one?

• A.) Study the cost of materials and possible profit

• B.) Check if the product is applicable on the location where he wants to sell it

• C.) Consider the availability of his raw materials

• D.) All of the statement mentioned above

8.) It is the price at which the commodity is sold per unit

• A.) Selling Price

• B.) Cost Price

• C.) Operating Cost

• D.) Profit

9.) The cost of expenses relative to the production and sale of a commodity.

• A.) Selling Price

• B.) Cost Price

• C.) Operating Cost

• D.) Profit

10.) The amount that a company or store has to pay for the goods it is going to sell.

• A.) Selling Price

• B.) Cost Price

• C.) Operating Cost

• D.) Profit