Rise Up - BOR exam #3

While the season is changing from winter to spring, a manager asks a sales associate for ideas on a sales strategy that will help clear out the remaining winter merchandise. Which of the following strategies is MOST likely to help reach this goal?

• Reduce pricing on winter apparel by 50% or more and add incentives for purchasing hats, gloves, & scarves.

• Put up signs throughout the store stating that all winter merchandise is "while supplies last."

• Introduce an employee incentive plan for the salesperson who sells the most winter apparel that week.

• Promote summer merchandise instead.

It is the end of the week, and a sales associate at an electronics store is still $300 away from his weekly sales goal. At the end of his shift, a customer approaches him to pay for a tablet that costs $250. What could the associate do to reach his sales goal?

• Suggest the customer buy an additional item to help you reach your sales goal.

• Offer the customer to add a 1 year protection plan to the tablet, for an additional $60.

• Buy something himself to make up for the difference.

• Tell the customer to come back next week.

A spa wants to grow its clientele, so they created a friends and family discount package. Which marketing technique was used?

• Direct marketing

• Social media marketing
• Advertising

• Sales Promotion

While in the checkout line at her favorite clothing store, Mallory noticed displays with some lower-priced items that complemented her clothing purchases. The items on display were socks, necklaces, and hair ties. Mallory could not resist adding a scarf to her purchase. This is an example of what merchandising tactic?

• Impulse buying
• Seasonal promotion
• Strategic pricing
• Customer loyalty program

What is the process of rotating perishable items that may expire so that the newest items are behind the older items?

• Random Stock Rotation
• Expiration Date Prioritization
• First In, First Out (FIFO) method
• Last In, First Out (LIFO) method

Sierra walks into a boutique and is immediately struck by the stylish decor, lighting, and the way products are arranged to create a welcoming atmosphere. what term describes the store's overall look and feel and how items are displayed?

• Visual merchandising

• fixturing

• branding
• interior design

Retailers incur costs as a result of doing business . Those costs include rent, payroll, and utilities. What is another cost?

• profit targets

• Operating expense

• Advertising costs
• Inventory costs

Bob runs a small coffee shop. He buys bags of coffee beans for $10 each and sells them for $15.00 to cover his costs and make a profit. What is the term for the amount Dan adds to the cost of the coffee beans to cover costs and earn a profit?

• markup
• expense
• price
• cost

If a retail business' revenue is $4,625 and the cost of goods sold )COGS) is $3,150, what is the gross profit?

• $2,000
• $1,000
• $1,475
• $3,000

Jesse sells 30 t-shirts at $12.00 each. The cost of each T-shirt is $5.00. What is Jesse's gross profit?

• $150
• $180
• 210
• $240