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3 years ago

The type of decision making a consumer uses for a product does not necessarily remain constant.why?

Business

1 answer:

Vlada [557]3 years ago

5 0

Answer:

See explanation below.

Explanation:

Human wants and needs are dynamic and insatiable. With that in mind, a customer's decision making regarding particular products and services will keep on changing.

This can be due to diverse reasons which include:

- Change is customer's tastes or preferences: customers may experience income level changes, and this will also affect their tastes and preferences for particular products and services.

- Changes in trends: people's needs tend to change with the changes in trends and what is currently in vogue.

- Technology advancements: changes in technology will affect a consumer's decision making process, for example, if a new phone with new capabilities is produced, consumers will want to purchase the product because of its technical aspects.

- Economic factors like inflation, rise or fall in income level, unemployment, recession, etc can affect a consumer's decision making process.

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An individual wants to have $95,000 per year to live on when she retires in 30 years. The individual is planning on living for 2

son4ous [18]

Answer:

The amount she would be saving during her working life is $1,089,64 and the deposit required for each year is $6,624.21

Explanation:

Solution

Given that:

The amount of income needed for retirement income = P×[1-(1÷(1+r)^n)]÷r

Now,

The Interest rate per annum =6.00%

The Number of years = 2

The Number of compoundings per annum = 1

The Interest rate per period ( r)=6.00%

The period per payment (P)=$ 95,000

The Amount required for retirement income = 95000*[1-(1/(1+6%)^95000]/6% =$1,089,643

Now,

Required deposit for every year (P)=FVA÷([(1+r)^n-1]÷r)

The Interest rate per annum = 10.00%

The Number of years= 30

The number payments per per annum =1 The Interest rate per period ( r)=10.00%

The Number of periods (n)=30

Thus,

The Future value of annuity (FVA) = $1,089,643

Hence the deposit required for each year is = 1089643/(((1+10%)^30-1)/10%)

= $6,624.21

6 0

3 years ago

What is perceptual errors

WARRIOR [948]

Answer:

A perceptual error is the inability to judge humans, things or situations fairly and accurately. Examples could include such things as bias, prejudice, stereotyping, which have always caused human beings to err in different aspects of their lives.

<em>Hope this helps! </em>:)

8 0

3 years ago

two firms intel and AMD in the CPU market have combined demand given Q = 100-2P. Their total costs are given by TC Intel = 2 Q I

devlian [24]

If they cannot successfully collude and instead produce where the market price equals marginal cost, the market price will be higher.

More about market price:

The price at which a good or service can currently be purchased or sold is known as the market price. The dynamics of supply and demand influence the market price of a good or service. The market price is the cost at which the quantity supplied and the quantity demanded are equal.

In order to determine consumer and economic surplus, the market price is used. Customer surplus, also known as the market price, is the difference between the highest price a consumer is willing to pay and the actual amount they pay for the commodity.

Learn more about market price here:

brainly.com/question/17218349

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2 years ago

Pernell Company reported LIFO reserves of $150,000 and $100,000 in 2016 and 2015, respectively. The company utilized the FIFO as

liberstina [14]

Answer:

If Pernell Company had used the first-in, first-out (FIFO) inventory valuation method, their cost of goods sold (COGS) would have been $50,000 less during 2016.

Since the company uses the last-in, first-out method, its inventory value for 2016 was $50,000 higher than if it had used the FIFO method. This type of situations are common since the COGS tend to increase over time.

6 0

3 years ago

12. If your disposable income falls from $55,000 to $50,000 and your consumption falls from $40,000 to $38,000, your marginal pr

noname [10]

Answer:

Marginal Propensity to save=0.6

Explanation:

In order to calculate Marginal Propensity of save, we have to find the marginal Propensity to consume.

Marginal Propensity to consume=Consumption Change/Income change

Marginal Propensity to consume= $\frac{\Delta\ Consumption}{\Delta\ income}$

Change in Consumption=$40,000-$38,000

Change in Consumption=$2000

Change in income=$55,000-$50,000

Change in income=$5,000

Marginal Propensity to consume= $\frac{2000}{5000}$

Marginal Propensity to consume= 0.4

Now,

Marginal Propensity to consume + Marginal Propensity to save=1

0.4 + Marginal Propensity of save=1

Marginal Propensity of save=1-0.4

Marginal Propensity to save=0.6

6 0

3 years ago

The type of decision making a consumer uses for a product does not necessarily remain constant.why?​

The type of decision making a consumer uses for a product does not necessarily remain constant.why?