Before Making Your Final Decision on That New Computer, You

question 213

Multiple Choice

Before making your final decision on that new computer, you write down all the features, prices, and warrantees of the different products you've seen. You are in the ________ stage of the consumer buying process.

• A) problem recognition
• B) post-purchase evaluation
• C) purchase decision
• D) information seeking
• E) evaluation of alternatives

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Definitions:

Profit Margin Percentage

A profitability ratio calculated by dividing net income by revenue, expressing the result as a percentage.

Plowback Ratio

The proportion of earnings retained by a business, rather than distributed to its shareholders as dividends, to reinvest in the core business or to pay debt.

Dividend Policy Decision

The strategy that a company uses to determine the size and timing of its dividends payments to shareholders.

Capital Intensity Ratio

A financial metric that measures the amount of capital needed per dollar of revenue; used to evaluate the investment intensity of a business's operations.