This illustrates the concept of high switching costs.
<u>Option: C</u>
<u>Explanation:</u>
Switching costs generally refers to a consumer's financial costs when moving between brands, goods, services, or suppliers. It is important to keep in mind, however, that these costs may include non-financial ones. Certain factors such as financial, time, and attempt-based costs often form portion of the cost of shifting.
The greater the switching price, the less probable a consumer will be prepared to turn on brands, goods, services or suppliers. The greater the switching cost to customers, the less benefit the customer receives from switching to a new brand, commodity, service or supplier.
Answer:
$1,875
Explanation:
Given that,
Amount of note receivable = $50,000
Time period = 6 month
Interest rate = 9%
Interest amount:
= Principle amount × Interest rate × Time period
= $50,000 × 0.09 × (6/12)
= $2,250
Interest Accrued from 1 August to 31 December :
= (Interest amount ÷ 6 months) × 5 months
= ($2,250 ÷ 6 months) × 5 months
= $375 × 5 months
= $1,875
Answer:
The correct Answer is "Estimation"
Explanation:
By utilizing the probability that the certain amount of workers will deal with advantage plan administrator working under the state of estimation. In which he use probability that specific measure of individuals will participate in that specific arrangement and expect interest rate of workers.
Barney appears to be very impressed by the candidate's non-verbal communication skills.
Answer:
$550 favorable
Explanation:
Douglas industries was involved in the manufacturing of 5,500 units of a product which required 2.5 standard hours per unit.
The standard fixed overhead cost per unit is $2.20 for each hour at 13,500 hours
Therefore, the fixed factory overhead volume variance can be calculated as follows
= (13,500-(5,500×2.5hours)×$2.20
= (13,500-13,750)×$2.20
= -250 × $2.20
= -$550
= $550 favorable
Hence the fixed factory overhead volume variance is $550 favorable
