How can advertising help reduce customer risk perceptions of a service firm like a credit card?
What will be an ideal response?
Advertising helps customers visualize service benefits. The only tangible thing a credit card consumer receives is a plastic card. The advertisements therefore tend to highlight intangible aspects of the card. Advertisements may show exciting products and vacations that can be bought with the card. More tangible components like low interest rates or fees are also advertised to highlight service performance outcomes.
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If a 10% stock dividend is declared, an amount equal to the par value of the shares to be distributed should be charged to the retained earnings account
a. True b. False Indicate whether the statement is true or false
Which of the following demonstrates a company that has implemented a low cost, broad market strategy?
A. Payless Shoes B. The Sharper Image C. Walmart D. Neiman Marcus
A variable costing income statement is used for ________.
A) filing income tax returns B) external reporting purposes C) determining the amount of gross profit D) internal decision-making purposes
A truck is purchased for $70,000. It has a five-year life and a $10,000 residual value. Under the straight-line method, what is the asset's carrying value after three years?
A) $24,000 B) $34,000 C) $36,000 D) $46,000