Unit 7: Sales Planning Process Test

Unit 7: Sales Planning Process Test

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70 terms meghanmager Preview WGU C 195 term asto A salesperson is asked to account for the amount invested in a recent trade show. The salesperson determines the specific hours associated with each established expense type that the sales department uses for accounting purposes.Which action is this salesperson taking?-Identifying cost drivers and assigning costs

Explanation:

The salesperson is identifying the cost drivers to assign costs to the activities performed at a recent trade show. Identifying the cost drivers allows the sales manager to know how much was invested in the trade show.A sales manager is analyzing the aims and values of the organization before developing the sales plan.Which action is the sales manager taking?-Reviewing mission statement

Explanation:

The mission statement of an organization describes the aims and values that the organization is designed to achieve. The sales manager should regularly review the mission statement before developing a sales plan to ensure alignment with the mission.Mission Statement-of an organization describes the aims and values that the organization is designed to achieve A sales manager is using forecasting to evaluate the overall market potential to predict sales.How will the manager use this information?-To develop sales targets

Explanation:

The sales manager is developing sales targets. Evaluating the overall market potential to predict sales means that the sales manager wants to determine what the expected sales will be for a specific period of time.

A sales team is meeting to brainstorm strategies to use to win the market.Which strategy should be chosen by this team?-Measure sales against gross profit margins

Explanation:

The best sales teams measure sales against gross profit margins A sales manager is forecasting next week's sales by calculating the total sales from the last six weeks of the year, then dividing by the number of weeks.Which approach to sales forecasting is being used by the sales manager?-Simple moving average Simple Moving Average-which is a sales forecasting approach that uses only a subset of sales data.-predicts a value by averaging a fixed number of most recent actual values How should a company develop quota methods to provide a cushion for meeting company goals?-By overassigning quotas for the sales staff By overassigning individual quotas-a cushion is applied.A company needs to build a new factory and decides to raise each salesperson's quotas by 20% to reduce the amount of bond needed to finance the new factory. The sales staff complains to the chief of sales about the increased quotas being unreasonable.Which factor will be reduced by this company's quota change?-Motivation

Explanation:

When sales goals appear to be unattainable, motivation levels of the sales staff are reduced. Sales goals must be reasonable and attainable.A company's chief executive officer (CEO) wants to modify the sales compensation plan to motivate salespeople to achieve the aims of customer growth and market leadership according to the company's mission.What should the CEO align the compensation plan with to achieve the desired behaviors?-Strategic objectives

Explanation:

Aligning the sales quotas with strategic objectives helps to focus the employees on company revenue goals and to motivate them to achieve the company goals.Strategic Objectives-high-level goals that are aligned with and support the company's mission and create shareholder value A company is basing its sales quota on selling enough products to produce a particular level of gross margin.Which type of quota is being used by this company?-Profit

Explanation:

Profit quotas are simply based on gross margins produced from sales.Profit Quotas-Minimum levels of acceptable profit or gross margin performance A company is assigning a quota to the managers who supervise the sales representatives.Which type of quota is being used by this company?-Overlay