Which of the following statements is true of explicit switching costs?
A)Explicit switching costs involve a penalty levied for terminating a deal or contract.
B)Explicit switching costs are recurring in nature.
C)Explicit switching costs are variable in nature.
D)Explicit switching costs are concerned with the indirect costs in time and money.

Question

Quizplus · Accepted Answer

Explicit switching costs refer to the penalty or fee involved in terminating a contract or deal. These costs are usually incurred only once and are fixed in nature.

Which of the Following Statements Is True of Explicit Switching