Suggestive selling, accepting credit cards as payment, and expanding operating hours to 24 hours are strategies or selling techniques used by the fast food industry to attract customers to increase the purchase amount of the products resulting to increase in profit in the business.
Answer:
7.53%
Explanation:
Calculation for the discount rate of d(0,4)d(0,4)
The discount factor is : d=1/1+i
And given that the interest rates are compounded annually the discount factor will gives the present value of the bond when provided with the interest rate and maturity value.
Therefore the present value of a bond with a maturity value of 1 will be;
Present value=1 /(1+i1) (1+i) (1+i3) (1+i4)
Present value=1 / (1.07) (1.073) (1.077) (1.081)
Present value=0.748
The present value of a bond with a maturity value of 1 will therefore be 0.748.
Now, let calculate the discounting factor for the whole 4 years:
1 (1+d (0,4))‐⁴ =0.748
(1+d(0,4))=0.748‐¹/⁴
1+d (0,4) =1.0753
d (0,4)=0.0753
Therefore the discount rate will be 7.53%
Answer:
A. Advertising
Explanation:
Advertising is a paid form of non-personal communication targeted to an audience and usually employed by business men to promote their goods and services. The mass media which includes; radio, television, newspapers, e-mail are the means though which products can be advertised.
The description of what Xander wants to do which includes paying for the non-personal message which would be communicated through mass media, fit the description of advertising.
Answer:
They should invest $5,119,047.619 today.
Explanation:
The trust fund will pay a fixed amount forever thus it is a perpetuity. The value of perpetuity or Price of perpetuity is the amount that the perpetuity is worth in today's terms based on the cash flows it will generate in future.
The formula for the value or price of perpetuity is,
P0 or V = Cash Flow / r
Thus,
P0 or V = 215000 / 0.04 = $5,119,047.619
Answer:
D. Positioning.
Explanation:
Positioning is a market strategy that tries to create a product with similar features to that of its competitors and tries to drive the image through marketing.
This ịs a very powerful marketing concept because it builds a product's reputation and makes it distinguishable from the products of other competitors. This is done to try to occupy the mind of its intended customers and get them to see the difference between their product and that of rival companies. This type of advertising has become very common.
