When You Enter a Restaurant and See White Linen Tablecloths

question 13

Multiple Choice

When you enter a restaurant and see white linen tablecloths, leather chairs with arms, and soft plush carpeting, you expect a gourmet meal. When you enter a restaurant and see a counter where you place an order, a drink dispenser, ketchup packets, and plastic chairs, you expect fast food. Both of these restaurants rely on _____ to provide physical evidence of the services.

• A) responsiveness
• B) empathy
• C) service encounters
• D) tangibles

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Definitions:

Major Customers

Refers to clients who contribute significantly to a company's revenue, often making up a large portion of sales.

Auditor Opinions

Formal statements made by an auditor based on an audit of a company's financial statements, indicating the level of reliability of the financial information.

GAAP

Generally Accepted Accounting Principles, the standard framework of guidelines for financial accounting used in any given jurisdiction, particularly in the United States.

Qualified Opinion

An assessment by an auditor indicating that there were some issues or exceptions found during the audit, but none were significant enough to impact the overall accuracy of the financial statements.