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Case 11.1
Wayne is making a sales call on a new client company.The previous sales professional servicing this account,Tom,left to join another company.Wayne had liked Tom the moment he met him but thought of him as a bit of a slob because of the way he always chewed gum.
Wayne is calling on Cassandra,the operations manager for this company.She is a middle-level manager.As Wayne walks into Cassandra's office,he notes her expensively tailored suit,her professional demeanor,the simple cologne,and the lack of jewelry.Cassandra's appearance and office décor are reminiscent of the VP's office in Wayne's own company.
During the sales call Wayne is somewhat nervous.He stutters occasionally during the presentation,stumbles over the answers to a couple of Cassandra's questions,and tends to end his statements with a question.At the end of the call,Cassandra thanks him for his visit and the information,and walks out to the main entrance with him,making casual conversation.They shake hands,and Wayne goes on to his next sales call.As she walks back to her office,she thinks,"Should I do business with a company represented by someone with so little self-confidence?"
-Refer to Case 11.1.Cassandra's appearance and office décor represent which principle of career wardrobe decisions?
Market Rate
The prevailing price or interest rate available in the open market for goods, services, or securities.
Nominal Rate
The interest rate stated on a financial product or agreement without adjustment for inflation or other factors that affect the real value of returns.
Stated Value
Stated value refers to an arbitrary value assigned to the no-par value stock by the board of directors of a company, used for accounting purposes.
Effective Yield
The total yield on an investment, taking into account all compounding periods, fees, and other factors affecting the actual return.
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