Take this
short quiz to see how much you already know about the wholesale distribution
business.
1. When
you sell a product for more than you paid for it you are making a profit.
___ TRUE ___ FALSE
2. Wholesale
distributors have a lot of leeway in giving discounts in order to land the
sale and earn a profit.
___ TRUE ___ FALSE
3. As
long as we break even or make a small profit every year, the company can stay
in business forever.
___ TRUE ___ FALSE
4. The
best way to make a profit is to add-line items to a sale.
___ TRUE ___ FALSE
5. The
more sales transactions we make the more profit we can make.
___ TRUE ___ FALSE
6. Gross
margin per sale is more important than gross margin dollars per sale.
___ TRUE ___ FALSE
7. Most
distribution businesses make a 20% to 25% net profit.
___ TRUE ___ FALSE
8. When
you give a discount it’s good to remember that you can make it up
in
volume.
___ TRUE ___ FALSE
9. Inventory
never really loses its value.
___ TRUE ___ FALSE
10. Learning
how to avoid giving price concessions can help build profits.
___ TRUE ___ FALSE
Essentials Wholesale Distribution Business Literacy Quiz
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