Marketing Exam 2

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__________ involves sending an offer, announcement, reminder, or other item directly to a person at a particular address.

Direct-mail marketing

_____ is adjusting prices continually to meet the characteristics and needs of individual customers and situations

Dynamic pricing

________ refers to sending highly targeted, highly personalized, relationship-building marketing messages.

Email marketing

Which of the following describes a marketing website?

Engages consumers to move them closer to a direct purchase or other marketing outcome

________ is an advantage of radio.

Good local acceptance

__________ is an advantage of outdoor media.

High repeat exposure

_____ involves designing an initial marketing strategy for a new product based on the product concept

Marketing strategy development

Which of the following best describes direct-response television marketing?

Marketing via television, including infomercials and interactive television advertising

Which of the following describes online marketing?

Marketing via the internet using company websites, online ads and promotions, email, online video, and blogs

_____ means that services are produced and consumed at the same time and cannot be separated from their providers

Product mix

Which term refers to the party getting the message sent by another party?

Receiver

________ involves analyzing, planning, implementing, and controlling sales force activities.

Sales force management

In value-based pricing, setting a target price to match customer perceived value is the _____ step

Second

__________ is the use of more than one but fewer than all of the intermediaries who are willing to carry the company's products.

Selective distribution

Which of the following describes sales promotion?

Short-term incentives to encourage the purchase or sales of a product or a service

Most companies would like to _____ their offerings, thus developing a consistent worldwide image

Standardize

__________ is managing upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumers.

Supply chain management

Which term refers to pricing that starts with an ideal selling price, then targets costs that will ensure that the price is met?

Target costing

PR departments may perform many functions, including product publicity, which is ________.

publicizing specific products

Good local acceptance is an advantage of ________.

radio

Which of the follow defines a channel level?

A layer of intermediaries that performs some of the work in bringing the product and its ownership closer to the final buyer

Which of the following describes wholesaling?

All the activities involved in selling goods and services to those buying for resale and business use

_____ extends a current brand name to new or modified products in a new category

Brand extension

Finding the best name for a product is part of ________.

Brand name selection

Licensing and co-branding are two key methods of ________

Brand sponsorship

Which of the following describes omni-channel retailing?

Creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping

_____ is based on a buyer's perceptions of value rather than on the seller's cost

Customer value-based pricing

_____ occurs when a seller states prices or price savings that mislead consumers or are not actually available to consumers

Deceptive Pricing

Which of the following is an example of a price decision?

Deciding on either high markups on lower volume or low markups on higher volume

__________ is a major part of a product variable, and is an example of a product assortment and services decision.

Deciding on store atmosphere

Which of the following is a channel that has no intermediary level?

Direct marketing channel

What is real-time marketing?

Direct marketing that links brands to important moments and trending events in customers' lives

What is catalog marketing?

Direct marketing through print, video, or digital catalogs that are mailed to select customers, made available in stores, or presented online

________ is marketing via television, including infomercials and interactive television advertising.

Direct-response television marketing

Which of the following describes direct and digital marketing?

Engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and to build lasting customer relationships

__________ refers to retailers adopting environmentally sustainable practices.

Green retailing

__________ is the sales step in which a salesperson seeks out, clarifies, and overcomes any customer objections to buying.

Handling objections

Which of the following defines social media?

Independent and commercial online social networks where people congregate to socialize and share messages, opinions, pictures, videos, and other content

__________ sell to manufacturers rather than to retailers.

Industrial distributors

Diversifying the brand and models is a product strategy in which stage of the PLC?

Maturity stage

__________ are media that carry messages without personal contact or feedback.

Non personal communication channels

Which of the following describes deceptive pricing?

Occurs when a seller states prices or price savings that mislead consumers or are not actually available to consumers

________ consists of creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.

Omni-channel retailing

Which of the following describes a multichannel distribution system

One in which a single firm sets up two or more marketing channels to reach one or more customer segments

________ is thriving. According to a recent study, 60 percent of shoppers use their smartphones while shopping.

Online retailing

________ involves presentations by the firm's sales force for the purpose of engaging customers, making sales, and building customer relationships.

Personal selling

__________ is a personal presentation by the firm's sales force for the purpose of making sales and building customer relationships.

Personal selling

________ is a specific type of identity theft that uses deceptive emails and fraudulent online sites to fool users into divulging their personal data.

Phishing

__________ is the sales step in which a salesperson tells the "value story" to the buyer, showing how the company's offer solves the customer's problems.

Presentation

_____ is the amount of money charged for a product or service, or the sum of the values that customers exchange for the benefits of having or using the product or service

Price

Which of the following describes psychological pricing?

Pricing that considers the psychology of prices and not simply the economics; the price is used to say something about the product

Which term refers to a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price ranges?

Product lines

__________ is building good relations with the company's various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events.

Public relations

What is the name for all the activities involved in selling goods or services directly to final consumers for their personal, nonbusiness use?

Retailing

Which term refers to short-term incentives to encourage the purchase or sales of a product or a service?

Sales promotion

__________ is a short-term incentive to encourage the purchase or sale of a product or service.

Sales promotion

Which term refers to one party sending a message to another party?

Sender

Which of the following links service profits with employee and customer satisfaction?

Service profit chain

Which of the following describes the percentage-of-sales method?

Sets the promotion budget at a certain percentage of current or forecasted sales or as a percentage of the unit sales price

What is the name for the shopping practice of coming into retail stores to check out merchandise and prices but instead buying from an online-only rival?

Show rooming

What is the name for the independent and commercial online social networks where people congregate to socialize and share messages, opinions, pictures, videos, and other content?

Social media

Which of the following is a consumer product with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort?

Specialty product

________ uses people from sales, marketing, engineering, finance, technical support, and even upper management to service large, complex accounts.

Team selling

_____ refers to new product development in which various company departments work closely together, overlapping the steps in the product development process to save time and increase effectiveness

Team-based new product development

_____ is the stage of new development in which the product and its proposed marketing are tested in realistic market settings

Test marketing

What is the meaning of service variability?

That the quality of services may vary greatly depending on who provides them and when, where, and how they are provided

Setting the price based on cost is the _____ step in cost-based pricing

Third

Which of the following describes telemarketing?

Uses the telephone to sell directly to customers

________ is the digital version of word-of-mouth marketing, including videos, ads, and other marketing content that is so infectious that customers will seek it out or pass it along to friends.

Viral marketing

Which of the following is a wholesaler-sponsored group of independent retailers engaged in group buying and merchandising?

Voluntary chain

__________ is an example of a discount store.

Walmart

Basing-point pricing is _____

a geographical pricing strategy in which the seller designates some city as a basing point and charges all customers the freight cost from that city to the customer

_____ refers to developing the product concept into a physical product to ensure that the product idea can be turned into a workable market offering

product development

In the maturity stage of the PLC (product life cycle), a _____

product's sales growth slows or levels off

Advertising, personal selling, sales promotion, public relations, and direct marketing are all considered __________.

promotion decisions

What is allowance?

promotional money paid by manufacturers to retailers in return for an agreement to feature the manufacturer's products in some way

The selling process can best be described as __________.

prospecting and qualifying, preapproach, approach, presentation and demonstration, handling objections, closing, and follow-up

PR departments may perform many functions, including ________, which is building and maintaining national or local community relationships.

public affairs

A __________ is a group of independent retailers who jointly establish a central buying organization and conduct joint promotion efforts.

retailer cooperative

Promotion mix is best defined as the __________.

specific blend of promotion tools that the company uses to persuasively communicate customer value and build customer relationships

A superstore is a __________.

store that offers a large assortment of routinely purchased food products, nonfood items, and services

A __________ is a large, low-cost, low-margin, high-volume, self-service store that carries a wide variety of grocery and household products.

supermarket

The advantage to ________ as a major media type is that it allows for good mass-marketing coverage.

television

Promotional pricing is _____

temporarily pricing products below the list price, and sometimes even below cost, to increase short-run sales

A convenience product is a consumer product ______

that customers usually buy frequently, immediately, and with minimal comparison and buying effort

The receiver is __________.

the party getting the message sent by another party

Decoding refers to __________.

the process by which the receiver assigns meaning to the symbols encoded in the message

Idea generation is _____

the systematic search for new product ideas

Which term refers to an online forum where people and companies post their thoughts and other content, usually related to a narrowly defined topic?

A blog

Which of the following presents brand content that engages consumers and creates customer community around a brand?

A brand community website

Which of the following describes internet fraud?

A broad category that encompasses identity theft and financial scams

What is an indirect marketing channel?

A channel containing one or more intermediary levels

What is the definition of personal selling?

A personal presentation by the firm's sales force for the purpose of making sales and building customer relationships

With regard to the PLC stages, which of the following describes the decline stage?

A product's sales fade away

__________ is a promotion strategy that calls for spending a lot on consumer advertising and promotion to induce final consumers to buy the product, creating a demand vacuum that "pulls" the product through the channel.

A pull strategy

__________ is a promotion strategy that uses the sales force and trade promotion to promote the product to channel members, which in turn promote it to final consumers.

A push strategy

Which of the following describes promotion decisions?

Advertising, personal selling, sales promotion, public relations, and direct marketing

_____ is the practice of using the established brand names of two different companies on the same product

Co-branding

In cost-based pricing, _____ is the first step

Designing a good product

__________ is the cutting out of marketing channel intermediaries by product or service producers or the displacement of traditional resellers by radical new types of intermediaries.

Disintermediation

Which of the following is a product strategy in the maturity stage of the PLC?

Diversifying the brand and models

__________ is the sales step in which a salesperson checks in with the customer after the sale to ensure customer satisfaction and repeat business.

Follow-up

In value-based pricing, designing products to deliver the desired value at the target price is the _____ step

Fourth

__________ provide an entire line of services: carrying stock, maintaining a sales force, offering credit, making deliveries, and providing management assistance.

Full-service wholesalers

_____ is setting prices for customers located in different parts of the country or world

Geographical pricing

Which of the following is FALSE about international product and services marketing?

It is rarely beneficial to a company to standardize products and services in the global environment

Which of the following is an example of a discount store?

Kohl's

__________ offer fewer services than other wholesalers.

Limited-service wholesalers

________ are examples of corporate identity materials.

Logos, stationery, and business forms

__________ is a limitation of magazines.

Long ad purchase lead time

_____ is the pricing of optional or accessory products along with a main product

Optional product pricing

Which of the following is a detailed version of the new product idea stated in meaningful consumer terms?

Product concept

Which of the following describe product line pricing?

Setting the price steps between various products in a product line based on cost differences between the products, customer evaluations of different features, and competitors' prices

A(n) _____ is a consumer product that the customer, in the process of selecting and purchasing, usually compares on such attributes as suitability, quality and style

Shopping Product

________ refers to unsolicited, unwanted commercial email messages.

Spam

Which of the following describes media?

The communication channels through which the message moves from the sender to the receiver

How is integrated logistics management defined?

The logistics concept that emphasizes teamwork—both inside the company and among all the marketing channel organization—to maximize the performance of the entire distribution system

What is idea screening?

The process of filtering new product ideas to spot good ideas and drop poor ones as soon as possible

Which of the following describes show rooming?

The shopping practice of coming into retail stores to check out merchandise and prices but instead buying from an online-only rival

Which of the following defines total costs?

The sum of the fixed and variable costs for any given level of production

Which of the following describes wholesale merchants?

They sell primarily to retailers and provide a full range of services

Style is _____

a basic and distinctive mode of expression

A direct marketing channel is _____

a channel that has no intermediary level

FOB origin pricing is _____

a geographical pricing strategy in which goods are placed free on board a carrier; the customer pays the freight from the factory to the destination

uniform delivered pricing

a geographical pricing strategy in which the company charges the same price plus freight to all customers, regardless of their location

What happens during the growth stage of the PLC?

a product's sales start climbing quickly

Advertising is __________.

any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor

In a territorial sales force structure, salespeople ________.

are assigned to an exclusive geographic territory to sell the company's full line

Closing is the sales step in which a salesperson __________.

asks the customer for an order

What is value-added pricing?

attaching value-added features and services to differentiate a company's offers and charging higher prices

PR departments may perform many functions, including public affairs, which is ________.

building and maintaining national or local community relationships

PR departments may perform many functions, including lobbying, which is ________.

building and maintaining relationships with legislators and government officials to influence legislation and regulation

A(n) __________ is a vertical marketing system in which independent firms at different levels of production and distribution join together through contracts.

contractual VMS

A(n) __________ channel consists of one or more independent producers, wholesalers, and retailers, each a separate business seeking to maximize its own profits, perhaps even at the expense of profits for the system as a whole.

conventional distribution

Public relations people prepare and create logos, stationery, and business forms as ________ .

corporate identity materials

A major factor in price increases is _____

cost inflation

The fourth step in value-based pricing is _____

designing products to deliver the desired value at the target price

What is the second step in cost-based pricing?

determining product costs

High selectivity is an advantage of ________.

digital, mobile, and social media

Engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and to build lasting customer relationships is known as ________.

direct and digital marketingWhich of the following presents brand content that engages consumers and creates customer community around a brand?

High audience selectivity is an advantage of ________.

direct mail

Firms that sell products and services directly to final buyers via the internet are known as ________.

e-tailers

Direct and digital marketing is best defined as ________.

engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships

An advantage of newspapers as an advertising medium is ________.

flexibility

The advantage to television as a major media type is that it allows for ________.

good mass-marketing coverage

An advantage of direct mail as an advertising medium is ________.

high audience selectivity

An advantage of digital, mobile, and social media as an advertising medium is ________.

high selectivity

A(n) __________ is a channel arrangement in which two or more companies at one level join together to follow a new marketing opportunity.

horizontal marketing system

Preapproach is the sales step in which a salesperson __________.

learns as much as possible about a prospective customer before making a sales call

PR departments may perform many functions, including ________, which is building and maintaining relationships with legislators and government officials to influence legislation and regulation.

lobbying

High geographic and demographic selectivity is an advantage of __________.

magazines

Marketing messages, promotions, and other content delivered to on-the-go consumers through mobile devices are known as __________.

mobile marketing

What is team-based new product development?

new product development in which various company departments work closely together, overlapping the steps in the product development process to save time and increase effectiveness

Flexibility is an advantage of ________.

newspapers

A store that buys at less-than-regular wholesale prices and sells at less than retail is a(n) __________.

off-price retailer

Limited-service wholesalers __________.

offer fewer services than other wholesalers

High repeat exposure is an advantage of __________.

outdoor media

Personal selling is best defined as ________.

presentations by the firm's sales force for the purpose of engaging customers, making sales, and building customer relationships

PR departments may perform many functions, including ________, which is creating and placing newsworthy information in the media to attract attention to a person, product, or service.

press relations

Deciding on either high markups on lower volume or low markups on higher volume is an example of a __________.

price decision

Deciding on store atmosphere is a major part of a product variable, and is an example of a __________.

product assortment and services decision

_____ is combining several products and offering the bundle at a reduced price

product bundle pricing

PR departments may perform many functions, including ________, which is publicizing specific products.

product publicity

Green retailing refers to ________.

retailers adopting environmentally sustainable practices

Industrial distributors __________.

sell to manufacturers rather than to retailers

What is segmented pricing?

selling a product or service at two or more prices, where the difference in prices is not based on differences in costs

Direct-mail marketing involves __________.

sending an offer, announcement, reminder, or other item directly to a person at a particular address

Email marketing is best defined as ________.

sending highly targeted, highly personalized, relationship-building marketing messages

Service perishability means that ________

services cannot be stored for later sale or use

What is captive product pricing?

setting a price for products that must be used along with a main product, such as blades for a razor and games for a video-game console

A corporate chain is best defined as __________.

two or more outlets that are commonly owned and controlled

_____ vary directly with the level of production

variable costs

Which of the following describes a conventional distribution channel?

A channel that consists of one or more independent producers, wholesalers, and retailers, each a separate business seeking to maximize its own profits

Which of the following describes the compelling "big idea" that will bring an advertising message strategy to life in a distinctive and memorable way?

A creative concept

Which of the following describes fashion?

A currently accepted or popular mode of expression in a given field

________ refers to a sales force organization in which salespeople specialize in selling only to certain customers or industries.

A customer sales force structure

Which of the following is designed to receive goods from various plants and suppliers, take orders, fill them efficiently, and deliver goods to customers as quickly as possible?

A distribution center

Which of the following describes zone pricing?

A geographical pricing strategy in which the company sets up two or more designated areas

What is a retailer cooperative?

A group of independent retailers who jointly establish a central buying organization and conduct joint promotion efforts

________ represents a company to customers by performing one or more of the following activities: prospecting, communicating, selling, servicing, information gathering, and relationship building.

A salesperson

Which of the following describes cost inflation?

A situation in which rising costs squeeze profit margins and lead companies to pass cost increases along to customers

_____ is a brand created and owned by a reseller of a product or service

A store brand

Which of the following describes an administered VMS?

A vertical marketing system that coordinates successive stages of production and distribution through the size and power of one of the parties

Which of the following is a specific communication task to be accomplished with a specific target audience during a specific period of time?

An advertising objective

__________ consists of two major elements: creating advertising messages and selecting advertising media.

An advertising strategy

What is a third-party logistics provider?

An independent logistics provider that performs any or all of the functions required to get a client's product to market

What is a blog?

An online forum where people and companies post their thoughts and other content, usually related to a narrowly defined topic

A product is best defined as ______

Anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need

__________ is the sales step in which a salesperson meets the customer for the first time.

Approach

What is the first step in value-based pricing?

Assessing customer needs and value perceptions

Which of the following is part of the process of brand positioning?

Attributes and benefits

What of the following describes cost-based pricing?

Based on the costs of producing, distributing, and selling the product plus a fair rate of return for effort and risk

Attributes and benefits are part of __________, which is one of the major brand strategy decisions

Brand Positioning

Which of the following describes public relations?

Building good relations with the company's various publics by obtaining favorable publicity, building up a good corporate image, and handling or heading off unfavorable rumors, stories, and events

__________ is a sales promotion tool used to generate business leads, stimulate purchases, reward customers, and motivate salespeople.

Business promotion

__________ requires cultivating opinion leaders and getting them to spread information about a product or a service to others in their communities.

Buzz marketing

_____ is setting a price for by-products in order to make the main product's price more competitive

By product pricing

What is the name for the introduction of a new product into the market?

Commercialization

Which budgeting method sets the promotion budget to match competitors' outlays?

Competitive-parity method

The process of testing new product concepts with a group of target consumers to find out if the concepts have strong consumer appeal is known as _____

Concept testing

__________ is a sales promotion tool used to boost short-term customer buying and involvement or to enhance long-term customer relationships.

Consumer promotion

Which of the following is a small store, located near a residential area, that is open long hours seven days a week and carries a limited line of high-turnover convenience goods?

Convenience store

_____ is the fourth step in cost-based pricing

Convincing buyers of a product's value

What is event marketing?

Creating a brand-marketing event or serving as a sole or participating sponsor of events created by others

What is product development?

Developing the product concept into a physical product to ensure the product idea can be turned into a workable market offering

Which of the following describes the objective-and-task method?

Develops the promotion budget

________ use marketing tools such as websites, online video, email, blogs, social media, mobile ads and apps, and other digital platforms to directly engage consumers anywhere, anytime via their digital devices.

Digital and social media marketing

__________ involves giving a limited number of dealers the exclusive right to distribute the company's products in their territories.

Exclusive distribution

Which term refers to the drop in the average per-unit product cost that comes with accumulated production experience?

Experience curve

Which of the following is a temporary period of unusually high sales driven by consumer enthusiasm and immediate product or brand popularity?

Fad

Which of the following describes e-tailers?

Firms that sell products and services directly to final buyers via the internet

_____ are costs that do not vary with production or sales level

Fixed costs

________ is a limitation of television.

High clutter

Which term refers to carefully integrating and coordinating the company's many communications channels to deliver a clear, consistent, and compelling message about the organization and its products?

Integrated marketing communications

_______ is a broad category that encompasses identity theft and financial scams.

Internet fraud

Offering a basic product is a product strategy in the __________ of the PLC.

Introduction stage

The _____ is the PLC stage in which a new product is first distributed and made available for purchase

Introduction stage

_____ is setting a low price for a new product in order to attract a large number of buyers and large market share

Market Penetration Pricing

________ is setting a high price for a new product to skim maximum revenues layer by layer from the segments willing to pay the high price; the company makes fewer but more profitable sales

Market-skimming pricing

__________ is selecting, managing, and motivating individual channel members and evaluating their performance over time

Marketing channel management

Which of the following describes customer-centered new product development?

New product development that focuses on finding new ways to solve customer problems and create more customer-satisfying experiences

What is the name for direct marketing that links brands to important moments and trending events in customers' lives?

Real-time marketing

What is cost-plus pricing?

The addition of a standard markup to the cost of the product

Which of the following describes personal communication channels?

The channels through which two or more people communicate directly with each other, including face to face, on the phone, via mail or email, or even through texting or an internet chat

Which of the following best defines product quality?

The characteristics of a product or service that bear on its ability to satisfy stated or implied customer needs

The _____ step in value-based is determining the costs that can be incurred

Third

Which of the following describes spam?

Unsolicited, unwanted commercial email messages

Which of the following is a consumer product that the consumer either does not know about or knows about but does not normally consider buying?

Unsought product

__________ sell primarily to retailers and provide a full range of services.

Wholesale merchants

A discount is best defined as _____

a straight reduction in price on purchases during a stated period of time or in larger quantities

A corporate VMS is __________.

a vertical marketing system that combines successive stages of production and distribution under single ownership

A voluntary chain is __________.

a wholesaler-sponsored group of independent retailers engaged in group buying and merchandising

Which of the following describes dynamic pricing?

adjusting prices continually to meet the characteristics and needs of individual customers and situations

The __________ method sets the promotion budget at the level management thinks the company can afford.

affordable

What is a service?

an activity, benefit, or satisfaction offered for sale that is essentially intangible and does not result in the ownership of anything

A product sales force structure refers to a sales force organization ________.

in which salespeople specialize in selling only a portion of the company's products or lines

Customer sales force structure refers to a sales force organization ________.

in which salespeople specialize in selling only to certain customers or industries

A(n) ________ is a set of interdependent organizations that help make a product or service available for use or consumption by the consumer or business user.

marketing channel

What is good-value pricing?

offering just the right combination of quality and good service at a fair price

Trade promotion is a sales promotion tool used to __________.

persuade resellers to carry a brand, give it shelf space, promote it in advertising, and push it to customers

Marketing logistics is __________.

planning, implementing, and controlling the physical flow of materials, final goods, and related information from points of origin to points of consumption to meet customer requirements at a profit

An inside sales force is ________.

salespeople who conduct business from their offices via telephone, online and social media interactions, or visits from prospective buyers

A demand curve is a curve that _____

shows the number of units that market will buy in a given time period, at different prices that might be changed

Intensive distribution is best defined as __________

stocking the product in as many outlets as possible

High clutter is a limitation of ________.

television

Brand equity is _____

the differential effect that knowing the brand name has on customer response to the product or its marketing

An advertising budget is __________.

the dollars and other resources allocated to promote a product or a company

Digital and social media marketing consists of ________.

using digital marketing tools such as websites, online video, email, blogs, social media, mobile ads and apps, and other digital platforms to directly engage consumers anywhere, anytime via their digital devices

Public relations people prepare ________, such as annual reports and brochures.

written materials

_____ is a geographical pricing strategy in which the company sets up two or more designated areas

zone pricing


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