A useful measure of short-run customer profitability should account for which of the following costs?
A) Cost of the product or service provided to the customer.
B) Order processing and invoicing costs.
C) The costs of post-sale service calls.
D) All of the above.

Question

Quizplus · Accepted Answer

A useful measure of short-run customer profitability should account for all costs directly associated with serving the customer, including the cost of the product or service provided, order processing and invoicing costs, and the costs of post-sale service calls. These costs collectively give a more accurate picture of the profitability of a customer in the short run.

A Useful Measure of Short-Run Customer Profitability Should Account for Which