The Old Cliché "Service with a Smile" Recognizes the Fact

question 125

Multiple Choice

The old cliché "service with a smile" recognizes the fact that

• A) service providers need to be pleasant even if the customer is not.
• B) smiling is contagious.
• C) service providers should smile and not think.
• D) life is too short to be ugly.
• E) services are perishable but a smile is forever.

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Definitions:

Accounting Profits

The financial gain calculated by subtracting total explicit costs from total revenue, as recorded in the financial statements.

Explicit Costs

Costs that involve direct monetary payment by a business to purchase or maintain resources.

Usury Law

Legal regulations that set maximum interest rates that can be charged on loans to protect consumers against excessively high rates.

Equilibrium Interest Rate

The interest rate at which the demand for money in an economy equals the supply of money, maintaining a balance without excess surplus or shortage.