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In this chapter, we learned that the characteristics of services are intangibility, perishability, variability, and inseparability. Explain each of these characteristics in your own words and how they create challenges for marketing services. Use examples that are not in the textbook.
If the reserve requirement is 20% and Lindsay deposits $200 into her checking account, calculate the change in her bank’s required reserves. Show your work.
In the medical care sector, the decisions of what services should be produced, how they should be produced, how they should be distributed, and how to allow for growth and innovation must be made. What combination of non-medical and medical goods and..
When an economy is under autarky the price of eggplant is $5. The world price of eggplant is $3.50. If opened to the world market, would consumers or producers benefit? Would consumers or producers lose? Explain your reasoning (using a graph would be..
A monopoly produces widgets at a marginal cost of $8 per unit and zero fixed cost. It faces an inverse demand function given by P = 38 – Q and MR = 38 – 2Q. What are the profits of the monopoly in equilibrium? What are the consumer surpluses in equil..
how can a monopolistic competitor tell whether the price it is charging will cause the firm to earn profits or experience losses? What can it do to increase profits?
A specialty concrete mixer used in construction was purchased for $300,000 7 years ago. Its annual O&M costs are $105,000. At the end of the 8-year planning horizon, the mixer will have a salvage value of $5,000. If the mixer is replaced, a new mixer..
Describe what is meant by globalization. How might we measure globalization to see if it is changing over time?
Explain why you would expect to see active secondary markets where shippers trade capacity and why it is efficient to allow such markets.
Sally Stanford is buying a car that costs $12,000. She will pay $2000 immediately and the remaining $10,000 in four annual end-of-year using constant principal payments. The annual interest is 15%. Prepare a cash flow table to represent this situatio..
What are some examples of the financial crisis in Greece and the potential market problems because China's economy is fueled by construction of cities that remain unoccupied? We need to discern the financial condition of the world and look at dollars..
Each year,$7,500 is invested at 4% annual compound interest a) What is the value of the investment portfolio after 20 years? After 25 years? After 30 years? b) Repeat part (a) with the investment at 5% annual compound interest c) Based answers to (a)..
Assume that macroeconomic forecasters predict that the economy will be expanding in the near future. Explain how might managers use this information.
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