Why Would a Small Retailer Be Interested in Opening a Shop

question 38

Multiple Choice

Why would a small retailer be interested in opening a shop in a mall kiosk?

• A) The short-term leases can be helpful if the business fails.
• B) The retailer can offer seasonal merchandise and then close after the season.
• C) Kiosks can be in prime locations.
• D) A kiosk is relatively inexpensive compared to a regular store.
• E) All of these.

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Definitions:

Current Yield

A financial ratio that shows the annual return (interest or dividends) of an investment as a percentage of its current price.

Semi-Annual

Occurring twice a year; often refers to the payment frequency of bond interest or dividends.

Coupon Bond

A debt security that pays the holder interest payments at predefined intervals until maturity, at which point the principal is repaid.

Ask Price

The lowest price a seller is willing to accept for a security, often used in contrast with the bid price, which is the highest price a buyer is willing to pay.