Regarding the use of gross margin as a basis for evaluating salespeople's performance:
A)This is a good basis when the company sells different products with widely varying gross margins.
B)This takes selling expenses into consideration.
C)This rewards the salesperson who has the highest sales volume.
D)This is a poor basis for evaluating salespeople.
E)This encourages missionary selling activities.

Question

Quizplus · Accepted Answer

Using gross margin as a basis for evaluating salespeople's performance is effective when the company sells different products with varying gross margins, as it accounts for profitability rather than just sales volume.

Regarding the Use of Gross Margin as a Basis for Evaluating