FREE CLEP Marketing MCQ Question and Answers

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The purchasing department at Wal-Mart just purchased leather belts for $30.00 each. On the belts, they demand a 20% markup at retail. What should the suggested retail price be?

Correct! Wrong!

Explanation:
You must divide $30.00 (Cost) by 100% - 20% (Markup) to get the Retail Sales Price, which equals $37.50.

Which option is the worst one to use when shipping a product like stones?

Correct! Wrong!

Explanation:
When shipping items like rocks or stones, the air is a costly and ineffective mode of transportation.

What does a product that sells for $400.00 and has a 40% markdown cost at retail?

Correct! Wrong!

Explanation:
Because

Retail Selling Price = Cost - (Cost * Markdown Percent)

or even easier

Retail Selling Price = Cost * (1 - Markdown Percent)

Therefore, Price = 400 * (1 - .4) or 400 * .6 yielding $240.00.

Which of the subsequent is not a component of the marketing mix?

Correct! Wrong!

Explanation:
Although planning is a crucial component of marketing, it is not a component of the marketing mix. A marketer must use the components of the marketing mix effectively in order to create a successful marketing plan.

Peter is trying to calculate the markdown for a desk he is selling for $100.00 with a $31.00 markdown. What proportion would he estimate?

Correct! Wrong!

Explanation:
The markdown amount is computed as 31/100, which yields 31% because it is divided by the new selling price.

In order to ensure that a research study measures what it is intended to, researchers must carefully consider its design. This is also known as:

Correct! Wrong!

Explanation:
Validity refers to how well the study captures the intended outcomes.

All of the following—with the exception of______ causes failure of new products frequently:

Correct! Wrong!

Explanation:
Customers' needs for the product are referred to as a protocol. The likelihood of the product succeeding over failing increases if there is a need.

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