Question

Which of the following is not cost associated with retailing?

a. Insurance
b. Employee payroll
c. Cost of goods
d. Profit

Answer 1

The cost of goods is not a cost associated with retailing. Insurance, employee payroll, and profit are costs associated with retailing.

Step-by-step explanation:

The cost of goods is not a cost associated with retailing. Retailing involves the selling of goods or services to consumers. The cost of goods refers to the cost of purchasing the goods that are being sold. This cost is usually incurred by the retailer when they purchase the goods from a supplier or manufacturer.

Insurance, employee payroll, and profit are costs associated with retailing:

• Insurance is a cost that retailers pay to protect their business against potential risks and liabilities.
• Employee payroll refers to the wages and salaries that retailers pay to their employees for their work.
• Profit is the financial gain that retailers make from their sales. It represents the difference between the selling price of the goods and the cost of acquiring them.