1. Dealer incentive is defined as the factory-to-dealer cost which is being reduced to buy the vehicle from the company.
2. The reason they offer these is to help a slow selling model or brand of vehicle basically saying they do this to try to boost the hype for the vehicle and hopefully the incentives will make the model sell faster.
3. The main motive behind dealer incentives is to give the dealers a low price for stocking the companies products.
4. The main reason car manufacturers offer incentives is to help boost sales of slow-moving models.
In order to disguise the fact the car isn't selling well, some manufactures prefer giving incentives via "hidden" avenues, such as dealer incentives and low APR financing. Sometimes car incentives are provided merely as a competitive tool and not necessarily to help sell slow-moving models.
A final reason car incentives are used is to clear out year-end vehicles to make room for next year's models.
Answer:
3.63%
Explanation:
For computing the bond coupon rate, first we have to determine the PMT by applying the PMT formula that is shown on the attachment
Given that,
Present value = $900
Future value = $1,000
Rate of interest = 6%
NPER = 5 Years
The formula is shown below:
= PMT(Rate;NPER;-PV;FV;type)
The present value come in negative
So, after solving this, the PMT is $36.26
Now the coupon rate is
= $36.26 ÷ $1,000
= 3.63%
Answer:
d. identifying local market characteristics can help the business owner better reach the market
Explanation:
Market segmentation is classifying customers into smaller groups based on various characteristics. The characteristics may include age, gender, income levels, preferences, lifestyles, and geographical locations.
Small business operates within a certain geographical area. The business owner or managers probably live in that area. The owner understands the culture, needs, and wants of the customers. The small business can, therefore, provide the goods and services that will satisfy the needs of different groups of customers.
Because a small business operates in a smaller area, its customer's needs are less likely to extremely divergent. Small businesses can, therefore, create more refine segments than a large enterprise serving customers in different regions.
Answer and Explanation:
The traditional adversarial relationship with suppliers would change when a firm makes a decision to move to the new suppliers. The firm would focus more on the channels that provides more growth prospects.
Firms seek to build long term relationships with the few suppliers. Such long run relationship makes it more likely to recognize the specific objectives of the acquiring firm and the end customer.
Answer: Fixed Indirect costs.
Explanation:
Depreciation cost is the amount of a fixed asset that has been charged to expense through a periodic depreciation charge. Depreciation can either be a direct cost which is one that varies in concert with changes in a related activity while
an indirect cost is one that is not directly associated with an activity.
The determination of depreciation as a direct or indirect cost depends upon what it is associated with. For example carpet cleaning is an Indirect costs because it's precise benefits to a specific project is difficult or impossible to trace Also,since depreciation is a fixed cost, because it recurs in the same amount per period throughout the useful life of an asset then cost of the depreciation on the carpet cleaning is a Fixed Indirect Cost.
