Customer Satisfaction Occurs When Actual Performance Exceeds the Desired Performance

question 28

True/False

Customer satisfaction occurs when actual performance exceeds the desired performance expectation.

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Definitions:

Net Income

Net income is the total profit of a company after all expenses and taxes have been deducted from total revenue.

Retained Earnings

Profits that a company keeps after dividends have been paid out, which may be used for investment or to pay off debt.

Retention Ratio

The proportion of net income that is retained rather than distributed to shareholders as dividends.

Selling And Administrative Expenses

Operating expenses related to selling products and managing the business, not directly tied to production.