AAMI Funeral Home Management and Merchandising Units 8, 9, 10
True
The Merchandise Value Ratio examines the relationship between the wholesale cost of the merchandise and the total cost of both services and merchandise to the consumer. T/F
Direct
_____ selection room procedure is the method of selling merchandise whereby the funeral director remains in the selection room throughout the selection process.
Indirect
______ selection room procedure is the method of selling merchandise whereby the funeral director does not stay in the selection room during the selection process.
Consumerized
_________ pricing is another way of describing a method of pricing so that actual price figures are familiar to the consumer.
Horizontal
______________ merchandising is concerned with the actual number of choices available at each price rung on the vertical merchandising ladder.
Sales Frequency Chart
a chart on which all sales are listed showing the number of sales in any sales bracket.
Keystone Approach
a method of placing caskets at the entrance of the selection room in which the approach casket is $125-$150 above the median sale, the casket to the right of the approach casket is $25-$50 below the median sale.
Indicative Approach
a method of placing the caskets at the entrance of the selection room in which three caskets are used in such a way that the first or approach casket is priced approximately $200 above the median sale on the sales frequency chart. The casket to the left is priced at the unit below that of the approach casket. The casket at the right is priced at the second unit above that of the approach casket.
Functional Pricing
a method of price quotation by which the charges are broken down into several (more than 2) component parts, such as professional service, facilities, livery, and merchandise.
Bi-unit Pricing
a method of price quotation showing seperately the price of the service and the price of the casket.
Unit Pricing
a method of price quotation which creates one total price package for both service and merchandise.
Graduated Recovery
a pricing method where the markup varies. Higher priced caskets are given a higher markup.
Declining Price Structure
a pricing method where there is an inverse relationship between the markup and the price of the casket. The higher priced caskets are given a lower markup.
Median
a value in an ordered set off values which represents the midpoint, whereby there are equal number of values above and below the midpoint value.
Quantity Discounts
buy a certain amount and pay less per item.
Rebates
buy an item and mail in proof of purchase to receive money back on the said item.
Sales Objectives
critical to any funeral homes achieving its target profit is the careful development of ___________?
40-60
how many square feet are recommended per casket in a traditional showroom?
Demonstration Group
is a group of three or four caskets utilized to educate the selecting party regarding the elements of casket construction. Also known as an Educational Group.
Fixed Multiple
is a priced determination method whereby the casket cost is multiplied by a constant factor.
Itemization
is the method of price quotation by which each unit of service and/or merchandise is priced seperately.
Consignment
offer an item for sale and then pay for the item once it has been sold.
Cash Discounts
pay cash and receive a certain percentage off.
Modified Declining Price
similar to the declining method except the lower priced casket is less expensive.
True
the Consumer Value Index is found by dividing the wholesale cost of the merchandise by the retail price of the merchandise. T/F
Foot Candle
the amount of illumination produced by a source of one candle at a distance of a foot.
Markup
the difference between merchandise cost and selling price.
Benchmark
the most expensive casket and the least expensive casket will each serve as a ________ to which all other offerings may be compared.
Sales Frequency
the number of times sales in a given price bracket occur over a fixed period of time.
Mode
the number that appears most frequently in a listing of numbers.
Itemization
the oldest form of price quotation in funeral service and the current method required by the FTC.
CVI
the percentage derived by dividing the wholesale amount of the merchandise by the retail price of the merchandise.
Merchandising
the purchasing, pricing, display, and sale of merchandise.
MVR
the relationship between the wholesale cost of the merchandise and the total cost of both service and merchandise to the consumer.
Indirect
this type of lighting provides a general feeling of illumination.
True
vertical merchandising is concerned with providing consumers with a selection of prices. T/F
Direct
what type of lighting is best used to accent color, form, and shadow?
