As Product Adopters, Members of the Late Majority

question 243

Multiple Choice

As product adopters, members of the late majority

• A)have a fear of debt and use neighbors and friends as information sources.
• B)are skeptical and have below average social status.
• C)are deliberate and use many informal social contacts.
• D)are leaders in social settings and have a slightly above average education.
• E)are venturesome, highly educated, and use multiple information sources.

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Definitions:

Constant Dividend

A policy of distributing a fixed amount of dividend per share to shareholders, regardless of the company's earnings variations over time.

Cost of Retained Earnings

This represents the opportunity cost for a company of using its retained earnings for investment purposes rather than distributing them as dividends.

Common Stock

A type of equity security that represents ownership in a corporation, giving holders voting rights and the potential for dividends.

Market Yield

The current rate of return anticipated on a bond if held until maturity, expressed as an annual percentage.