1. What are three common secondary profit centers for a small RET business?
Correct Answer:
retail, rentals, small-scale manufacturing
2. Secondary profit centers make sense for an RET business because shopping is one of the most popular forms of recreation.
*a. True
b. False
3. In 2004, U.S. sales at active outdoor recreation retailers totaled ______billion.
a. $2
b. $43
c. $25
*d. $33
e. none of the above
4. A disadvantage of physical stores is that
a. customers can try on or try out merchandise
b. knowledgeable sales staff can help clients select appropriate equipment
c. customers can pay for merchandise and use it immediately
d. customers can develop emotional relationships with the staff and store
*e. customers can purchase merchandise during posted hours only
5. What are the six common elements of successful retailing?
Correct Answer:
location, products, pricing of products, appearance, sales staff, active management
6. The average dishonest customer steals significantly more than the average dishonest employee.
a. True
*b. False
7. Guidelines for preventing employee theft include
a. providing alternatives such as generous employee discounts
b. performing background checks on new employees
c. having management-level supervisors oversee inventory and bookkeeping
*d. all of the above
e. none of the above
8. Managers who ______set a good example against theft.
a. prepare accurate expense reports
b. dip into petty cash
c. pay for snacks and sodas
d. all of the above
*e. a and c
9. The abbreviation ATS stands for what?
Correct Answer:
average ticket size
10. UPT and ATS represent the same indicators of retail operation.
a. True
*b. False
11. Retail gross margin is determined by subtracting ______from cost of goods sold.
a. total inventory
b. total tax receipts
*c. total sales
d. total labor costs
e. none of the above
12. Rentals can be profitable for RET businesses because rentals can
a. increase customer loyalty
b. encourage trial use and adoption
c. promote retail sales
d. be a primary profit center
*e. all of the above
13. What type of insurance policy does a business that offers equipment rental need to obtain?
Correct Answer:
special liability
14. The National Park Service requires that backcountry guides follow food service sanitation regulations.
*a. True
b. False
15. Buying food from ______can save up to 50 percent.
a. Internet sellers
b. discount supermarkets
*c. wholesale distributors
d. auctions
e. none of the above
16. When an RET business offers food and beverage service, it is imperative that providers
a. purchase sustainably produced ingredients at wholesale
b. abide by strict food sanitation guidelines
c. plan menus to serve a range of dietary needs
*d. all of the above
e. a and b
17. What are three common options for small-scale manufacturing in an RET business?
Correct Answer:
design, on-site manufacturing, direct importation
18. Small-scale manufacturing is viable for RET professionals of any experience level.
a. True
*b. False
19. Contemporary point-of-sale systems commonly include ______.
a. remote access
b. customer data
c. employee accountability
d. service department work orders
*e. all of the above
20. Green food procurement involves
a. how food is grown
b. how food is harvested
c. how food is packaged
*d. all of the above
e. a and b