In the Context of Product Characteristics and the Rate of Adoption

question 45

Multiple Choice

In the context of product characteristics and the rate of adoption, which of the following statements is true of complexity?

• A)It refers to the degree of difficulty involved in understanding and using a new product.
• B)It refers to the degree to which a new product is consistent with existing values.
• C)It refers to the degree to which a product is perceived as superior to existing substitutes.
• D)It refers to the degree to which a product can be tried on a limited basis.

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Definitions:

Bond Sinking Fund

A method employed by issuers of bonds to set aside money over time to retire their debt at maturity.

Retired Immediately

A term typically referring to the full settlement or pay off of an obligation or liability at the time of its maturity.

Carrying Value

The book value of an asset on a company's balance sheet, calculated as the original cost minus accumulated depreciation or amortization.

Semiannual Interest

Interest calculated and paid twice a year on an investment or loan.