<span>The purpose of the snapple video is to help students understand how PRODUCT POSITIONING is an effect strategy implementation tool. Product positioning can have a major effect on marketing because if the product is not positioned in the right way, people might just glance over it and not take note of it.</span>
Wait what?? What are you trying to ask?
Answer:
Interest expense = $20,000
Explanation:
<em>Loan Amortization: A loan repayment method structured such that a series of equal periodic installments will be paid for certain number of periods to offset both the loan principal amount and the accrued interest. </em>
The annual installment is computed as follows:
Annual installment= Loan amount/annuity factor
Annual installment is already given as = 37,258 (already given)
Interest payment = interest rate × Loan balance at the beginning of the year
DATA
Interest rate = 8%
Loan balance at the beginning of the year = $250,000
Interest expense = 8%× 250,000 = $20000
Principal paid = Annual installment - Interest = 37,258-20,000 = 17,258 <em>(this is not required but to explain the concept)</em>
Interest expense = $20,000
What Courtney is experiencing in the question is a process called service recovery.
It refers to a paradox where a customer will think highly of a company when the company has fixed the problem that the customer is facing from its service, compared to how the customer would perceive the company when it gives a non-faulty service.
Customer retention is mainly determined by how a company resolves a problem that a customer faces due to a faulty service or product.
I think that its either A or D! hope this helps
