Figure 8-6B -Consider Figure 8-6B Above.Suppose You Are an Owner of a Owner

question 243

Multiple Choice

Figure 8-6B
-Consider Figure 8-6B above.Suppose you are an owner of a local Wendy's restaurant near a large urban college or university.You hired a marketing research firm to conduct a survey among a sample of respondents in your area to find out their patronage of fast-food restaurants.Four weeks after the firm conducted the survey,it presented the following results to you.Based on the results presented,which market segment is least attractive to pursue because they are light users?

• A)45 and older
• B)once a week or more
• C)25 to 44
• D)once a month or less
• E)under 25

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Definitions:

Prepaid Insurance

Payments made in advance for insurance services, which is recorded as an asset on the balance sheet and expensed over the period the insurance coverage is applicable.

Adjusting Journal Entry

An entry made in accounting records at the end of an accounting period to allocate income and expenditure to the correct period.

Insurance Premium

The amount of money an individual or business pays for an insurance policy, which provides financial protection against losses.

Accrual

An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when the cash is received or paid.