In the Giant Food Stores Case Study, the New Pricing

question 58

Multiple Choice

In the Giant Food Stores case study, the new pricing model deployment system included all the following features EXCEPT

• A) it required more staff to make pricing changes.
• B) it could handle large numbers of price changes.
• C) it used point of sale and competitive data as inputs.
• D) it had a predictive capability.

---

Definitions:

Interest Rate Swap

A financial derivative that involves the exchange of interest rate cash flows between two parties based on a specified principal amount.

Fixed Rate

A constant interest rate for a loan or mortgage that remains unchanged for the entire term of the loan or for a set period.

Variable Rate

An interest rate that changes periodically over the lifetime of the loan based on an underlying benchmark or index.

Prime Rate

The interest rate that banks charge their most creditworthy customers, often used as a benchmark for other loans.