A company wants information on how often customers complain about delivery. It reads the complaints log kept by its own customer service department. What type of data is this?

Answer and explanation

Correct answer: A. Secondary data, because it was collected for another purpose

  1. Step 1: Primary data is collected first-hand for the specific purpose of the study.
  2. Step 2: Data originally gathered for another purpose, such as handling complaints, is secondary even if it is internal.
Answer
Secondary data, because it was collected for another purpose.
Why not the others: Primary data is collected first-hand for the specific purpose in hand, such as a new survey. The source of the information does not make it primary; what matters is why and by whom it was collected. Secondary data can be internal as well as external, so being from the company's own log does not stop it being secondary.

Practise more Marginal costing.

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