Flo Is a Fictional Character Depicted in Progressive Insurance's TV

question 102

Multiple Choice

Flo is a fictional character depicted in Progressive Insurance's TV commercials. She symbolizes friendliness, reliability, and knowledge about the company's products. The part Flo plays in the promotion is designed to address the characteristic of the service.

• A) intangibility
• B) perishability
• C) heterogeneity
• D) inseparability
• E) customer service

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Definitions:

Discount Rate

The interest rate used to discount future cash flows to their present value, reflecting the time value of money.

Operating Leverage

A measure of how sensitive a company's operating income is to a change in its sales volume.

Operating Cash Flow

Operating cash flow is the money generated from a company's regular business operations, highlighting its capacity to sustain and grow operations.

Fixed Cost

Overhead expenses that remain constant regardless of the volume of goods or services produced by a business.