According to interdependency theory, the net profit or loss a person encounters in a particular interaction is known as the outcomes. reward cost satisfaction outcome
Social exchange theory also called the interdependency theory. Human psychology has a direct relation with interdependency.
Interdependency theory views relationship within people and the individual self which lay emphasis on one's behaviour and emotions.
This makes theory both psychological with human element presenting the concept of interdependency.
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In this example, Wrigley used the Penetration pricing.
Penetration pricing is one of marketing strategy which aims to attract potential customers by offering lower price as its initial offering.
This pricing strategy helps a new product or service to penetrate the market and attract customers because of the low price offered.
In the question, the introductory price for chewing gum, mint mojito were set low and aims to attract new customers to the product.
In conclusion, Wrigley used the Penetration pricing to attract new customers.
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Answer:
$110,082
Explanation:
1. Year 0 - year 12
PV = $-25,500 (Amount of deposit today)
i/r = 5.9%
n = 12 years
PMT = 0 (no annual deposit)
FV (Value of deposits at end of year 12) =?
Using financial calculator, FV = $50,733
2. Year 13 - Year 27
PV = $-50,733
i/r = 5.3%
n = 15 years
PMT = 0 (no annual deposit)
FV (value of deposit at end of year 27) = ?
Using financial calculator, FV(27) = $110,082
Answer:
False
Explanation:
A budget is a financial plan used for the estimation of revenue and expenditures of an individual, organization or government for a specified period of time, often one year. Budgets are usually compiled, analyzed and re-evaluated on periodic basis.
The first step of the budgeting process is to prepare a list of each type of income and expense that will be part of the budget.
A lifestyle can be defined as the way and manner an individual chooses to live his or her life. Similarly, a lifestyle budget comprises the cost of goods and services an individual has chosen to spend his or her money on.
Basically, completely eliminating an item isn't the only way to decrease a lifestyle budget because there could be similar items that even cost way more than the eliminated item.
Some of the benefits of having a budget is that it aids in setting goals, earmarking revenues and resources, measuring outcomes and planning against contingencies.
I believe the answers are utility bill and true.