Answer:
It will purchase 3 cans
total consumer surplus 0.70
Explanation:
the market price is 0.55
It will purchase up to three cans. the fourth can he is willing to purchase at 0.40 but the price is 0.55 so it won't trade for that one.
<u>consumer surplus:</u>
difference between the amounts he was willing to pay for each unit and the market price:
first can 0.95 - 0.55 = 0.40
second can 0.80 - 0.55 = 0.25
third can 0.60 - 0.55 = 0.05
total consumer surplus 0.70
Answer:
A long history with corrected blemishes shows to those viewing your credit history that you've learned to fix mistakes making you trustworthy and experienced. But when you have a short clear history they don't really know anything about you.
Explanation:
Answer:
r or expected rate of return = 0.1077 or 10.77%
Explanation:
Using the CAPM, we can calculate the required/expected rate of return on a stock. This is the minimum return required by the investors to invest in a stock based on its systematic risk, the market's risk premium and the risk free rate.
The formula for required rate of return under CAPM is,
r = rRF + Beta * rpM
Where,
- rRF is the risk free rate
- rpM is the market risk premium
r = 0.051 + 0.9 * 0.063
r or expected rate of return = 0.1077 or 10.77%
Answer: Build long-term relationships with the customers
Explanation:
According to the given scenario, the high pressure selling process is one of the ineffective approach as the dealership wants to build a long term relationship with the consumers or user.
The long term relationship with the customers is basically creating the growth, loyalty and also the revenue of an organization as it helps in increase the productivity of the management by maintaining the good relationship with the customers.
The following ways helps in building the long term relationship with the customers are as follows:
- By good communication skills
- Enhance the consumer loyalty
- Make connection with the customer
- Always take feedback
- Explain about your product's benefits
