Family is not an interpersonal influence in the consumer decision
process.
Consumer decision process refers to the process by which consumers identify their needs and use information gather therein to evaluate their purchase.
Most notable interpersonal influence for making these decision include age, occupation, lifestyle, social status, economic status, gender of the consumer and etc.The society, time of the season and culture of the consumer all acts as influence in decision process.In conclusion, the family of the consumer does not acts as an interpersonal influence in the consumer decision process.
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You run a regression estimating sales for your company, as your model becomes more accurate the residual will also
•Become more negative
•Decrease
•Increase
•Become more positive
Answer: More Negative!
Explanation:
As your model becomes more accurate, the residuals will become more negative. This is because when the model is more accurate, it will be better able to predict the actual sales and the difference between the actual sales and the predicted sales (the residuals) will decrease. As the difference decreases, the residuals will become more negative.
The function of a yield management system is to:
A) ensure adequate staffing requirements in accordance with demand
B) achieve maximum room occupancy and at the same time determining the best average room rate
C) improve the quality of the hotel’s food and beverage offer
D) more effectively market the hotel and its services to customers
The function of a yield management system is to: achieve maximum room occupancy and at the same time determining the best average room rate.
Yield management is a variable pricing approach, primarily based on knowledge, looking forward to and influencing client behavior so one can maximize sales or earnings from a hard and fast, time-constrained useful resource.
Yield management is a dynamic motel pricing strategy designed to provide the most revenue, or yield, from a set stock of rooms. it is about expertise and influencing traveller booking conduct and locating the most effective balance among occupancy and charge.
Yield management makes a speciality of finding the right stability of deliver and call for to get the most bookings at the very best fees. It enables you maximize room sales and profitability.
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(a) Explain the marketing strategies Sanders ventured in ensuring that his business became global
Sanders ventured in creating a consistent and strong brand culture ensuring his business became global market.
For businesses expanding globally, building a powerful, enduring brand that customers are always able to recognize is a top concern. Brand structure has evolved into more of a brand culture as the internet has grown and expanded. To be more precise, it is increasingly common these days for the business you support to be representative of your culture. If you sacrifice your brand culture, it could be detrimental.
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Emmy is analysing a two-share portfolio that consists of a utility share and a commodity share. She knows that the return on the utility has a standard deviation of 35 percent, and the return on the commodity has a standard deviation of 41 percent. Calculate the variance of the portfolio if the covariance (σ12) is 0.16, assuming an equal proportion of each share in Emmy’s portfolio
30% of the standard deviation of a portfolio (SD) assumes an equal proportion of each share in Emmy’s portfolio.
Bearing 1 = Useful Bearing
Weight of Useful Bearing = 50% ; Standard Deviation of Supply Inventory = 40%
Inventory 2: Merchandise Inventory
Weight of Merchandise Inventory = 50%; Standard Deviation of Raw Material Inventory = 30%.
Standard deviation (or σ) is a measure of how far the data are from the mean. A low standard deviation means that the data are clustered around the mean, and a high standard deviation means that the data are more scattered. The standard deviation is: This is a measure of how the numbers are distributed.
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How does working capital impact a firm’s value?
Answer:
Explanation:
a lot of things
two ways in which best bank can adapt to the challenges of the macro environment
Answer:
Mergers or Information Management
Explanation:
Mergers-In order to respond to certain challenges, businesses may choose to merge with another business. The new business will have a larger market share than either of the original businesses did.
Information management -All changes lead to new information that needs to be distributed to all the relevant parties.
Information must be managed efficiently and a system must be in place so that the relevant staff can easily access it.
Information must be protected and kept secure to protect the company's intellectual property.
Your friend Stan owns a coffee shop in a monopolistically competitive industry. One day, Stan tells you (an economist) that he is earning an economic profit and is setting his price equal to his marginal cost. Is Stan producing the profit-maximizing amount of coffee? What should he do?
In a monopolistically competitive industry, each firm has some control over the price it sets due to product differentiation.
Stan mentioned that he is earning an economic profit and setting his price equal to his marginal cost. To determine whether he is producing the profit-maximizing amount of coffee, we need to consider a few factors.
1. First, let's understand the relationship between price, marginal cost, and profit maximization. In a competitive market, profit maximization occurs where marginal cost equals marginal revenue. However, in monopolistic competition, firms have some market power, so the profit-maximizing quantity occurs where marginal cost equals marginal revenue, not price.
2. Setting the price equal to marginal cost does not necessarily guarantee profit maximization. If Stan's price is equal to marginal cost, it means that he is covering his variable costs, but it does not take into account his fixed costs. To maximize profit, Stan should set his price above marginal cost, considering both variable and fixed costs.
3. If Stan is currently earning an economic profit, it suggests that he may not be producing the profit-maximizing amount of coffee. In monopolistic competition, firms tend to have excess capacity, meaning they produce less than the quantity that would minimize average total cost. By increasing his output, Stan may be able to reduce his costs and increase his profit.
Considering these factors, here are a few suggestions for Stan:
- Conduct a cost analysis: Stan should evaluate his fixed and variable costs to understand the full picture of his expenses. By knowing his costs, he can set a more informed price and determine the profit-maximizing quantity.
- Consider demand elasticity: Stan should also assess the price elasticity of demand for his coffee. If demand is relatively elastic, a small price increase may result in a significant decrease in quantity demanded, potentially reducing his profits. On the other hand, if demand is inelastic, Stan may be able to increase his price without a significant drop in sales.
- Experiment with pricing: Stan could consider experimenting with different prices to find the optimal point that maximizes his profit. By monitoring customer response to different prices, he can identify the price that generates the most revenue while covering his costs.
By taking these steps and considering the unique characteristics of monopolistic competition, Stan can better position his coffee shop for long-term success and profitability.
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Jorge has a new job in an office. Which of the following safety procedures will he most likely need to learn?
Answer: D) How to exit safely in the event of a fire
Explanation:
Jamie Kerr is an hourly employee of Noonan Company located in Los Angeles. This week, Kerr had to travel to the company's regional office in Santa Fe. He left Sunday at noon and arrived in Santa Fe at 3:30 P.M. During the week, he worked his normal 40 hours in the Santa Fe office (Monday through Friday-9 A.M. to 5 P.M.). In addition, he attended the company's 3½-hour work training session on Wednesday evening. Kerr's hourly rate of pay is $26.90 per hour.
Round the interim computations to two decimal places and use the rounded answers in subsequent computations. Round the final answers to the nearest cent.
a. Kerr's overtime earnings for the week are
b. Kerr's total earnings for the week are
a) Kerr received $164.78 in weekly overtime pay. Individuals who work for a company and receive compensation are called employees. Under the heading "Income from salaries," earned salaries are taxable.
How does income relate to salary?For the purposes of income tax, the amount that an employee receives from his employer in any of the following forms during a fiscal year will be considered "Salary": Wages: Wages are a set amount of money that an employer pays its employees in exchange for their work.
In the Netherlands, what is the "30 rule"?Employees recruited from outside the Netherlands to temporarily work here can take advantage of the 30% facility. They are exempt from paying tax on up to 30% of their salary provided they meet the conditions for the 30% facility.
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Earnings (net income) $ 189,000
Preferred stock (13,100 shares at $30 par, 4%) $ 393,000
Common stock (43,700 shares no par, market value $52) 514,000
Retained earnings 581,500
$ 1,488,500
Less: Treasury stock
Preferred (1,700 shares) $ 55,000
Common (1,700 shares) 30,000 85,000
Total stockholders’ equity $ 1,403,500
Required
a. Calculate the Stuart Company’s earnings per share ratio, price-earnings ratio and return on equity ratio
The earnings per ratio is 16.45%
The earnings-per-share ratio is calculated by dividing net income (before preferred dividends) by the total number of outstanding common stock shares. The price-earnings ratio illustrates the connection between the current market price and the current-period earnings per share.
Obtaining the earnings per share and the current share price to calculate the price-earnings ratio, which displays the market worth of the shares or how much investors are willing to pay for them.
Retained earnings 581,500
$ 1,488,500
Less: Treasury stock
Preferred (1,700 shares) $ 55,000
Common (1,700 shares) 30,000 85,000
Total stockholders’ equity $ 1,403,500
Earnings (net income) = $189,000
Preferred Dividend = $13,680 (13,100 - 1,700 x $30 x 4%)
Net income after preferred = $175,320
Earnings per share ratio = Net income/Number of common shares outstanding
= $175,320/(43,700 - 1,700)
= $4.17
Price-earnings ratio = Current market price/Earnings per share
= $52/$4.17
= 12.5x
Return on equity ratio = Net income after preferred dividend/Equity
= $175,320/$1,065,500 x 100
= 16.45%
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Identify one supply or demand shifting factor that the community could have some control over or do something about
One supply or demand shifting factor that the community could have some control over is consumer preferences and behaviors.
1. Consumer Education: The community can actively engage in educating consumers about the benefits of certain products or services. By providing information on the positive impacts of choosing certain goods or services, consumers may shift their preferences towards those options, influencing the demand.
2. Marketing and Advertising: Local businesses and organizations can collaborate to promote goods and services that align with the values and preferences of the community. Effective marketing strategies can influence consumer demand and encourage them to choose specific products, thereby shifting the demand curve.
3. Support for Local Producers: Community members can actively support local producers and businesses by purchasing their goods and services. By creating a demand for locally sourced products, the community can influence supply chain dynamics and encourage businesses to cater to their preferences.
4. Sustainable Practices: Promoting sustainable practices within the community can also have an impact on supply and demand. By advocating for eco-friendly products and services, such as renewable energy or ethically sourced goods, the community can create a shift in consumer demand, influencing businesses to adjust their supply accordingly.
5. Collaboration with Local Authorities: The community can collaborate with local authorities to enact policies that align with their preferences. For example, advocating for stricter environmental regulations or supporting initiatives that promote fair trade can influence both supply and demand factors.
By actively engaging in these steps, the community can exert some control over consumer preferences and behaviors, thereby shifting the supply and demand dynamics in their favor.
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A farmer has developed a new type of fertilizer. This new fertilizer
costs 20 percent more to produce than the old fertilizer but has
better results: The same land now produces 25 percent more
crops each year.
Which statement best describes one way the farm will be
affected by using this new fertilizer?
A. The farm's opportunity cost for using fertilizer will increase.
B. The farm's opportunity cost for using fertilizer will decrease.
C. The farm's marginal cost for fertilizer will increase.
D. The farm's marginal cost for fertilizer will decrease.
The farm's marginal cost for fertilizer will increase. The correct answer is option C.
What is marginal cost?Because it aids in determining the ideal level of production and pricing, marginal cost is a crucial topic in economics and business decision-making. Businesses can decide on production levels, pricing tactics, and resource allocation by comparing the marginal cost to the marginal revenue, or the extra money made by selling one more unit.
The additional expense incurred while manufacturing one more unit of a good or service is referred to as the marginal cost. The farmer in this instance is utilizing a brand-new fertilizer that is 20% more expensive to generate than the previous fertilizer. The marginal cost of fertilizer for the farm therefore rises as a result of the new fertilizer's higher cost of production per unit.
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"Sorry to put you through that test. We're more like a team of investors than operational partners even Seth and Jia, who started the restaurant 30 years ago. So we need to be sure you'll run the restaurant ethically. Everybody did love Julio, but he was a mess. We'd never hire him back. We'd like to hire you, but on a probationary basis for three months. What do you need to get started
Explanation:
Analyzing all the information related to the question above, a good strategy for an effective start would be to adopt good work practices such as organization and ethics, which were information provided by investors about what they expect from the new manager. That is why it is necessary to establish an effective and positive communication with employees and customers of the restaurant, be an ethical professional who meets the requirements and policies proposed by the company, etc.
A good strategy also to start in the internship regime and make a good impression for investors would be to talk with the establishment's prominent employees about the best practices to be adopted in the restaurant to be successful.
…is part of the marketing mix where the methods of providing a service is used.
O Physical evidence
Process
O Place
O Promotion
Answer:
the 1st one
Explanation:
physical evidence process
Consider that the market demand function For IBM Computer represented as a. Calculate Price elasticity of demand when d=20,000-0.5P, Ceteris paribus the price per unit is Birt 10,000. b. It the demand for IBM Computer aces elsarric, inelastic or Unitary elastic? C. Interpret the result
A. The price elasticity of demand is PED ≈ -0.67.
B. The demand for IBM computers is inelastic because the absolute value of the price elasticity of demand (PED) is less than 1.
C. The negative value of the price elasticity of demand (-0.67) indicates an inverse relationship between price and quantity demanded.
To calculate the price elasticity of demand (PED), we need to use the formula:
PED = (% change in quantity demanded) / (% change in price)
a. Given the demand function d = 20,000 - 0.5P and the price per unit is $10,000, we can calculate the quantity demanded at this price by substituting P = $10,000 into the demand function:
d = 20,000 - 0.5 * 10,000
d = 20,000 - 5,000
d = 15,000
Now, let's consider a small change in price. Let's say the price decreases to $9,500, and the quantity demanded changes to 15,500. We can calculate the percentage changes:
% change in quantity demanded = (15,500 - 15,000) / 15,000 * 100 = 3.33%
% change in price = (9,500 - 10,000) / 10,000 * 100 = -5%
Now we can calculate the price elasticity of demand:
PED = (% change in quantity demanded) / (% change in price)
PED = 3.33% / -5%
PED ≈ -0.67
b. The demand for IBM Computer is inelastic because the absolute value of the price elasticity of demand (PED) is less than 1. In this case, the PED is approximately -0.67, indicating that a 1% change in price will lead to a smaller percentage change in quantity demanded.
c. The negative value of the price elasticity of demand (-0.67) indicates an inverse relationship between price and quantity demanded. In other words, as the price of IBM Computers increases, the quantity demanded decreases, and vice versa. However, since the demand is inelastic, the change in quantity demanded is proportionately smaller than the change in price. This suggests that consumers are not highly responsive to price changes, and IBM Computers are relatively price-insensitive.
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A landscaping business owner buys a new riding mower for $9,600. 0. The owner makes a $1,000 down payment and applies for an $8,600 four-year, 3. 5% interest rate installment loan, with monthly payments of $192. 26. What is the total cost of the mower?.
$10,228.48 is the total cost of the mower. Buyers will frequently take out loans to cover the remaining purchase price.
What do you mean by a down payment?A down payment on a cottage is the money paid in advance by the buyer in a real estate transaction or other large purchase. Down payments are typically a portion of the sales price and can range from 3% to 20% for a primary residence.
Given
The total cost of the mower will be the sum of the down payment and the total amount paid through the loan:
Down payment = $1,000
Total amount paid through the loan = (monthly payment) x (number of months) = $192.26 x 48 = $9,228.48
The total cost of the mower is:
Total cost = Down payment + Total amount paid through the loan
Total cost = $1,000 + $9,228.48
Total cost = $10,228.48
Therefore, the total cost of the mower is $10,228.48.
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Answer:$10,228.48 is the total cost of the mower. Buyers will frequently take out loans to cover the remaining purchase price.
Explanation:
is a collection of attitudes, values, and behaviors shared by a group of people
Answer:
yes and no. They wont have the same values. attitudes and behaviors due to them all being different people with different opinions and different values.
though they can share values and opinions with others it probably won't be exact to the best answer would be False.
Explanation:
If this helps can I get brainlist?? i'm trying to level up and only need 2 more :)
11. A manufacturing company purchased equipment on June 30, 2017, at a cost of $800,000.
The residual value of the equipment was estimated to be $50,000 at the end of a five-year
life. The equipment was sold on March 31, 2021, for $170,000. Prepare the journal entry
to record the sale
a. If the company uses the straight-line depreciation method
b. If the company uses doble declining balance method
c. If the company uses sum of the years digit method
The journal entries to record the sale of the equipment on March 31, 2021, by the manufacturing company, are as follows:
a. If the company uses the straight-line depreciation method
Journal Entries:Debit Sale of Equipment $800,000
Credit Equipment $800,000
Debit Accumulated Depreciation $562,500
Credit Sale of Equipment $562,500
Debit Cash $170,000
Credit Sale of Equipment $170,000
Debit Loss $67,500
Credit Sale of Equipment $67,500
b. If the company uses the double declining balance method
Journal Entries:Debit Sale of Equipment $800,000
Credit Equipment $800,000
Debit Accumulated Depreciation $679,040
Credit Sale of Equipment $679,040
Debit Cash $170,000
Credit Sale of Equipment $170,000
Debit Sale of Equipment $49,040
Credit Gain from Sale of Equipment $49,040
c. If the company uses the sum of the years' digit method
Journal Entries:Debit Sale of Equipment $800,000
Credit Equipment $800,000
Debit Accumulated Depreciation $600,000
Credit Sale of Equipment $600,000
Debit Cash $170,000
Credit Sale of Equipment $170,000
Debit Loss from Sale of Equipment $30,000
Credit Sale of Equipment $30,000
The importance of journal entries?Journal entries recognize business transactions and identify the accounts affected.
They also signal whether an account will be debited or credited.
a. If the company uses the straight-line depreciation method
Cost of Equipment = $800,000
Residual value = $50,000
Depreciable amount = $750,000
Depreciation period = 5 years
Annual depreciation = $150,000 ($750,000/5)
Accumulated Depreciation till March 31, 2021, = $562,500 ($150,000 x 3.75)
Transaction Analysis:Sale of Equipment $800,000 Equipment $800,000
Accumulated Depreciation $562,500 Sale of Equipment $562,500
Cash $170,000 Sale of Equipment $170,000
Loss $67,500 Sale of Equipment $67,500
b. If the company uses the double declining balance method
Accumulated Depreciation till March 31, 2021:
First-year =$320,000 ($800,000 x 40%)
Second year = $192,000 ($800,000 - $320,000 x 40%)
The third year = $115,200 ($800,000 - $512,000 x 40%)
Fourth year = $51,840 ($800,000 - $627,200 x 40% x 9/12)
Total accumulated depreciation = $679,040
Transaction Analysis:Sale of Equipment $800,000 Equipment $800,000
Accumulated Depreciation $679,040 Sale of Equipment $679,040
Cash $170,000 Sale of Equipment $170,000
Sale of Equipment $49,040 Gain from Sale of Equipment $49,040
c. If the company uses the sum of the years' digit method
Accumulated Depreciation:1st Year = $250,000 ($750,000 x 5/15)
2nd Year = $200,000 ($750,000 x 4/15)
3rd Year = $150,000 ($750,000 x 3/15)
4th Year = $75,000 ($750,000 x 2/15 x 9/12)
Total accumulated depreciation = $600,000
Transaction Analysis:Sale of Equipment $800,000 Equipment $800,000
Accumulated Depreciation $600,000 Sale of Equipment $600,000
Cash $170,000 Sale of Equipment $170,000
Loss $30,000 Sale of Equipment $30,000
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employees benfit and service
Explanation:
Medicare and social security contributions. ...
Worker's compensation insurance. ...
Minimum wage and overtime pay. ...
Health insurance. ...
Medical and family leave. ...
Disability insurance. ...
Wellness programs. ...
Commuter benefits.
U.S. consumers are increasingly viewing debit cards as a convenient substitute for cash and checks. The average amount spent annually on a debit card is $7,790. Assume that the average amount spent on a debit card is normally distributed with a standard deviation of $500.
Required:
A consumer advocate comments that the majority of consumers spend over $8,000 on a debit card. Find a flaw in this statement. (Round your final answer to 4 decimal places.)
About 33.72% of the consumers spend over $8,000 on a debit card.
What is z score?The z score is used to determine by how many standard deviations the raw score is above or below the mean. It is given by:
z = (raw score - mean) / standard deviation
Given that:
Mean = $7790, standard deviation = $500, for > $8000:
z = (8000 - 7790)/500 = 0.42
P(z > 0.42) = 1 - P(z < 0.42) = 1 - 0.6628 = 0.3372
About 33.72% of the consumers spend over $8,000 on a debit card.
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difference between behavioral situational trait approach to leadership
Explanation:
The key difference between trait and behavioral theories of leadership is that trait theory states that leaders have inborn traits, whereas behavioral theory rejects inborn virtues of leaders and states that leaders can be trained.
How do population affect the government critically
Answer:
Rapid population growth strains political institutions and increases pressure on services.
Explanation:
PLEASE HELP, WILL GIVE BRAINLIEST
1. The industrial wood planers currently valued at $58,000 each were purchased two years ago for $65,000 each. The company plans to keep them for six more years. Jasmine uses the straight-line method to determine the depreciation for these machines. Be sure to follow FASB
a. What is the salvage value of each planner, and how is this amount determined? (2 points)
The salvage value of each planner is $23,000 and this is derived by first calculating the depreciation amount which is then deducted from Original cost of the asset.
How do we calculate our salvage value?The salvage value of each industrial wood planer is the estimated value of the machine at the end of its useful life, after it has been fully depreciated. It is determined by subtracting the accumulated depreciation from the original cost of the asset.
In Jasmine's case, using the straight-line method of depreciation, the annual depreciation for each machine is calculated as follows:
$65,000 - $58,000 = $7,000 (depreciation per year)
The company plans to keep the machines for six more years, so the total amount of accumulated depreciation would be:
$7,000 x 6 = $42,000
Therefore, the estimated salvage value of each industrial wood planer would be:
= $65,000 - $42,000
= $23,000
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Requirement 2. How much is the owner's equity of the property management company? Irene Chan has $ of equity in the property management company?
The information provided is incomplete as the amount of equity or any specific details about Irene Chan's investment in the property management company are not given. Therefore, without knowing the specific amount or percentage of equity Irene Chan holds in the company.
it is not possible to determine the exact value of the owner's equity or Irene Chan's equity in the property management company.Equity represents the ownership interest in a company and is calculated by subtracting the company's liabilities from its assets. However, since no information is provided regarding the company's liabilities, assets, or Irene Chan's investment.
We cannot calculate the owner's equity or determine Irene Chan's specific equity in the property management company.To accurately determine the owner's equity or Irene Chan's equity, it would be necessary to have additional information about the company's financial statements, investments, and any other relevant details regarding ownership stakes or capital contributions.
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Mr. Brown is in the 10 percent federal income tax bracket and wants to invest $10,000 in interest-earning assets. Mr. Black is in the 35 percent bracket and wants to invest $15,000. The current rate on a typical high-quality tax-exempt municipal bond is 3.5 percent and on a high-quality corporate bond is 4 percent. You are the financial advisor to both. Which investment would you recommend to each individual?
Based on the information given, the corporate bond will be recommended for Mr. Brown while the municipal bond will be recommended for Mr Black.
Mr Brown:
The after-yield tax on corporate bonds will be:
= Before tax yield × (1 - tax rate)
= 4% × (1 - 0.10)
= 3.60%
After tax yield on municipal bond will be:
= 3.5% × 1 = 3.5%
The corporate bond is recommended.
For Mr. Black
The after-yield tax on corporate bonds will be:
= 4% × (1 - 0.35)
= 2.60%
The after-yield tax on municipal bonds will be:
= 3.5% × 1
= 3.5%
Therefore, the municipal bond is recommended.
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Which of these loan options is strongly recommended for first-time buyers? Choose all that apply. Adjustable-rate Contract for deed Balloon Fixed-rate Interest-only
Answer:
Fixed-rate
Explanation:
Fixed-rate loans and mortages are those that have a specific interest rate, and a specific payment that will not ever change over the duration of the loan because both are fixed. In other words, a fixed-rate loan is simply a annuity payment over a particular period of time.
For first-time buyers this is the easiest option because it is simple, it can be easily projected over time, and helps with financial planning.
What to say when he asks what’s the reason you want me
Answer:
1) “You make me happy.” ...
2) “I feel whole with you.” ...
3) “You're always there for me.” ...
5) “You always make me laugh, even when I'm having a bad day.” ...
6) “You're gorgeous.” ...
7) “I can always be myself around you.” ...
8) “You make me feel safe.”
9) “You always make time for me.”
10) “We have so much fun together.”
What are the transactions requirements for chase?
Answer:
Complete at least 10 qualifying transactions (including debit card purchases, online bill payments and direct deposits) within 60 days of opening your account. The account must remain open for six months, or Chase may deduct the bonus at closing. When you'll get it: Within 10 business days of completing requirements.
Q: Is there an emergency dentist available in Wednesbury?
Yes, there is an emergency dentist available in Wednesbury.
Where is Wednesbury?Wednesbury is a town located in the West Midlands county of England, United Kingdom. It is situated approximately 9 miles east of Wolverhampton and 4 miles northwest of Birmingham.
Wednesbury is part of the metropolitan borough of Sandwell and is surrounded by other towns such as Walsall, West Bromwich, and Tipton.
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QUESTION 1 of 10: When buying an existing business, it is important to:
a) Find out why the business is for sale
b) Review existing financial statements
c) Both a) and b)
d) None of the above
Answer:
C
Explanation:
Consumer behavior is generally influenced by four elements. Whether or if your target customer purchases your goods depends on these considerations. They are social, psychological, personal, and cultural. Thus, option C is correct.
What is required to purchase an existing business?The examination of a business can be broken down into four clusters: the seller's background and motivations, any legal issues that may impact the operation.
The company's financial situation, and the company's standing and future prospects in its industry (its products, services, and future).
This is because an established business already has a proven track record of success. Higher chance of surviving, Numerous new businesses fail during their first few years of operation.
Therefore, Review existing financial statements and find out why the business is for sale.
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