While on His Way Home, Joren Buys a Box of Guardian

question 66

Multiple Choice

While on his way home, Joren buys a box of Guardian Original cereal and a family pack of Rice Krispies for his kids.He does not ponder over the benefits provided by the competitors' products, nor does he look at other alternatives.This is an example of:

• A)habitual decision making.
• B)an internal search for information.
• C)postpurchase dissonance.
• D)impulse buying.
• E)an external search for information.

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Definitions:

Preferred Stock

Equity shares that give investors a claim on a company's earnings before dividends are paid to common stockholders, often with no voting rights.

Common Equity

The amount of ownership in a corporation that is held by common shareholders, represented by common stock.

Leverage

The use of borrowed capital or financial instruments to increase the potential return of an investment.

Equity Financing

The process by which a company raises capital through the sale of shares.