Marketing Foundations (024108 )

Novel Nook, a book retailer in Sydney, is experiencing a surge in demand for their products as more people are turning to reading for entertainment and knowledge since the pandemic. With customers eagerly purchasing books online and in-store, Novel Nook realizes the need to expand their delivery capabilities to keep up with the increasing orders.

Novel Nook decides to acquire a delivery van to streamline their delivery process. They find a suitable van advertised for $80,000. In addition to the purchase price, they incur $2,500 for transportation, $2,000 for vehicle-related state stamp duty costs, $1,200 for registration, and $500 for non-compulsory transportation-related insurance. All expenses are paid in cash. The company expects to use the van for 12 years and estimates a salvage value of $5,000 at the end of its useful life.

Required: Journalize all transactions related to the purchase of the delivery van.

Novel Nook estimates it will deliver 80,000 orders during that period. Actual orders delivered during the five years are as follows:

· Year 1: 5,000 orders

· Year 2: 4,500 orders

· Year 3: 6,000 orders

· Year 4: 5,500 orders

· Year 5: 3,000 orders

Required: Prepare a 5-year depreciation schedule for the new van using the following methods:

c) Units of activity

Which of the following reflects public concerns about the modern company?

a. Companies are a small part of the Australian economy. The greatest activity within the Australian economy is through individuals and their enterprises

b. Companies are now much larger than the smaller companies that were created historically. this gives investors in our community much more safety when investing in companies

c. The passing of various regulations means that companies are now fully controlled and responsible for what they do

d. Companies are essentially private bodies that serve the purpose of facilitating investment and thus increasing social benefits through more efficient and profitable businesses and competitive markets

When different stages of the distribution channel are combined under one management structure, it is known as: 

Group of answer choices

horizontal channel integration.

vertical channel integration.

franchising.

diagonal channel integration

Coca-Cola distributes its soft drinks via every suitable intermediary. This distribution strategy is an example of: 

Group of answer choices

intensive distribution.

thorough distribution.

selective distribution.

exclusive distribution.

In the distribution of services, the main aim of scheduling is to:

Group of answer choices

manage inventory.

smooth demand.

minimise labour.

increase customers.

Next 

The total product concept broadly describes a product as a bundle of attributes, creating value for the customer. Specifically, a product can be defined as the core product, expected product, ____________ product and ____________ product. 

Group of answer choices