Business and Technology · The relationship between accounting and other business functions

Sales, Marketing and Customer Relations for ACCA BT

Updated 11 October 2026 · Fact-checked

Sales and marketing find customers, set the offer and win orders. Accounting supports them with costs for pricing, credit checks and credit control, and sales reports. The marketing mix (4Ps: product, price, place, promotion) shapes the offer. In BT questions, link each function's activity to the information accounting supplies or receives.

Understand Sales, Marketing and Customer Relations

A business earns revenue only when customers buy. Two functions drive that. Marketing identifies what customers want and shapes the offer so they choose you. Sales turns that interest into actual orders and keeps the customer relationship going.

Marketing is wider than advertising. It covers market research, deciding which products to offer, setting prices, choosing how goods reach customers and communicating with them. This is the marketing mix, often called the 4Ps: product (what you sell, its quality, features, brand), price (list price, discounts, credit terms), place (distribution channels and where customers can buy) and promotion (advertising, sales promotion, personal selling, public relations). Service businesses often add three more Ps: people, processes and physical evidence. Check your study text for whether it expects 4Ps or 7Ps.

Customer relations means managing the business's dealings with customers after and before the sale: handling queries and complaints, after-sales service and loyalty. Many firms use a customer relationship management (CRM) system to hold customer data and contact history.

Accounting and sales and marketing depend on each other. Accounting gives them cost data for pricing, budgets for marketing spend, and sales analysis by product, region or customer. It also runs credit control: checking whether a new customer can pay, setting credit limits, issuing invoices and chasing late payment. In return, sales and marketing give accounting sales forecasts for budgets, details of orders and discounts agreed, and customer information needed to invoice correctly.

There is also a natural tension. Sales staff want to win orders, so they may favour generous discounts and long credit terms. Accounting must protect profit and cash flow, so it may resist. Good questions test whether you can see both sides.

Key formulas to remember

Marketing mix (4Ps): Product + Price + Place + Promotion; Service businesses may add People, Processes and Physical evidence (7Ps). Use the version your question or study text uses.
Sales growth: Sales growth % = (Current sales − Previous sales) ÷ Previous sales × 100; A basic sales report measure. Divide by the earlier period, not the later one.
Receivables days: Receivables days = Trade receivables ÷ Credit sales × 365; Used by credit control to monitor how quickly customers pay. Use credit sales if given, otherwise revenue.
Cost-plus price: Selling price = Cost + Mark-up % of cost; A common pricing method accounting supports. Mark-up is on cost; margin is on selling price.

How to solve Sales, Marketing and Customer Relations questions

Use this method for any question on sales, marketing or customer relations, whether it is a single objective test question or a multi-task scenario.

1Identify the function being described: sales, marketing, customer relations or accounting.
2Read the key verbs. Setting a price or choosing a channel is marketing mix; chasing an overdue invoice is credit control.
3If the question mentions the 4Ps, match each activity to one P. Discounts and credit terms are price; distribution and outlets are place.
4Work out the direction of information flow: is accounting giving data to sales and marketing, or receiving it from them?
5Link to accounting: costs for pricing, budgets for spend, credit limits, invoices, sales reporting.
6If numbers are given, do the calculation with the right base, such as dividing by previous sales for growth.
7Check for conflict: would sales want something that accounting would limit, such as discounts or extended credit?
8Choose the answer that matches the exact wording, not the one that is merely true in general.

Quickest way: Match the activity to the P or the flow

When to use it: Use this in Section A objective test questions when you have about a minute or less per question.

Underline the activity in the question.
Decide: is it product, price, place or promotion, or is it an accounting activity?
For accounting links, ask: cost or price data, credit, or reporting?
Eliminate options that put the activity in the wrong function.
For calculations, write the formula, then compute once and check the base.

Common mistakes in Sales, Marketing and Customer Relations

Treating marketing as only advertising.
Everyday language uses marketing and advertising as if they mean the same.
Fix: Remember advertising is only part of promotion, which is only one of the 4Ps.
Putting discounts and credit terms under promotion.
Discounts feel like a promotional offer to customers.
Fix: In the marketing mix, price covers list price, discounts, allowances and credit terms. Promotion covers communication.
Saying credit control belongs to the sales department.
Sales staff deal with the customer, so it seems natural.
Fix: Credit control is an accounting and finance activity. Sales may supply information and help with disputes, but accounting sets limits and chases payment.
Mixing up mark-up and margin.
Both are profit percentages and look similar.
Fix: Mark-up is profit as a percentage of cost. Margin is profit as a percentage of selling price. Check the base.
Describing information flowing only one way.
Students think of accounting as only a service provider.
Fix: State both directions: accounting gives cost data and reports; sales and marketing give forecasts, orders and customer details.
Ignoring the conflict between sales targets and cash flow.
Students focus on growing revenue and forget payment risk.
Fix: Note that extra sales on long credit or to weak customers can raise bad debt risk and strain cash.

Worked examples

Example 1

A company launches a new sports drink in three flavours, sells it through supermarkets and online, offers a 5% discount for bulk orders and runs social media adverts. Which of these is a PLACE decision? (A) Three flavours (B) Selling through supermarkets and online (C) 5% bulk discount (D) Social media adverts

Show the solution

Match each activity to a P.
Three flavours is a product decision.
Supermarkets and online are distribution channels, so place.
A bulk discount is price.
Social media adverts are promotion.

Answer: (B) Selling through supermarkets and online.

Example 2

Sales were $400,000 last year and $450,000 this year. Trade receivables at the year end are $90,000 and all sales are on credit. Calculate sales growth and receivables days (to the nearest whole day).

Show the solution

Sales growth = (450,000 − 400,000) ÷ 400,000 × 100.
50,000 ÷ 400,000 = 0.125, so growth is 12.5%.
Receivables days = 90,000 ÷ 450,000 × 365.
90,000 ÷ 450,000 = 0.2.
0.2 × 365 = 73 days.

Answer: Sales growth is 12.5% and receivables days are 73. Credit control would compare 73 days with the credit terms offered to see whether customers are paying late.

Exam tips

In Section A, identify the function first. Many wrong options describe a real activity placed in the wrong function.
Learn which P each common activity belongs to, especially discounts and credit terms (price) and distribution channels (place).
For multi-task questions, show both information flows between accounting and sales and marketing, with a concrete example each.
In number entry questions, check which base the percentage uses and give the answer in the format asked.
When a scenario mentions generous credit to win sales, think of the conflict with credit control and cash flow.

Practice questions from The relationship between accounting and other business functions

Sales, Marketing and Customer Relations: frequently asked questions

What are the 4Ps of the marketing mix?

They are product, price, place and promotion. Together they describe how a business shapes its offer to customers. Service businesses may extend this to 7Ps by adding people, processes and physical evidence.

How does accounting support the sales and marketing department?

Accounting supplies cost data for pricing, budgets for marketing spend and reports on sales by product, region or customer. It also invoices customers and runs credit control. This helps sales and marketing make informed decisions.

Is credit control part of sales or accounting?

It is normally part of the accounting and finance function. It checks customer creditworthiness, sets credit limits and chases overdue payments. Sales staff provide customer information and help resolve disputes.

What is the difference between sales and marketing?

Marketing identifies customer needs and shapes the overall offer, including product, price, place and promotion. Sales focuses on persuading customers to buy and closing orders. Marketing creates demand and sales converts it.