Answer: TREND WATCHING HELPS MARKETERS TO PREPARE AND PREVENT THE RECURRENCE OF NEGATIVE IMPACTS ON THE BUSINESS.
TREND WATCHING IS RELEVANT IN BUSINESS.
TO PREVENT AND PREPARE FOR POSSIBLE MARKET RISKS.
Explanation:Trend watch is a process through which an analysis is carried out to understand the existing situations in a business Environment and make adequate preparation or take steps aimed at controlling any possible risk .
Trend watch is very relevant as it prevents a business entity from losses and it helps Businesses to prepare for and control possible risks,most Marketing Organisations usually do trend watching in order to improve overall performance and profits.
Answer: Target Marketing
Explanation: In Target Marketing, a company focuses its attention on a particular group of people because it feels the needs of this group of people would be best met by a particular product or service it offers.
The company first breaks the market into segments, as can be seen in the question above, where Cool People has broken the market into segments and has chosen to focus on African-American teenage girls.
Answer:
a) Journal entry
Date Account and explanation Debit Credit
June 1 Cash $108,000
Notes payable $108,000
b) Adjusting entry
Date Account and explanation Debit Credit
June 30 Interest expense $360
(108,000*4%*1/12)
Interest payable $360
c) Journal entry
Date Account and explanation Debit Credit
Dec 10 Notes payable $108,000
Interest payable (360*6) $2,160
Cash $110,160
d) Total (interest expenses)
Interest payable = $360 * 6
= $2160
Answer:
Explanation:
1. Incremental cash flow is the potential increase or decrease in cash flow from an investment this could be positive or negative.
In this case in expanding a product line or launching a new project incremental cash flow could be.
a. Positive: this is the increase in cash flow due to the product launch and expansion.
b. Negative: this is the decrease in cash flow due to the product launch and expansion
2. a. Payback:
profit gotten from an initial investment equal to what was initially invested
b. Net Present Value(NPV)
This is the difference between present value of income and present value of expenditure over a period of time.
c. Internal Rate of Return(IRR)
Measure the rates of returns for an investment excluding external factors such as risk free rates, inflation e.t.c
d. Profitability Index Method (PIM)
this is the lowest acceptable measures of the rates of returns for an investment excluding external factors such as risk free rates,inflation e.t.c
