A Personal Care Item Such as a New Flavor of Dental

question 20

Multiple Choice

A personal care item such as a new flavor of dental floss may have a slow rate of adoption because it is not a highly visible item in homes.Also,this item is not often discussed among friends and coworkers.This is an example of how the characteristic of _____ can work to slow the adoption process.

• A) relative advantage
• B) observability
• C) trialability
• D) complexity
• E) compatibility

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Definitions:

Stock Price

The cost of purchasing one share of a company's stock in the market.

Exercise Price

The price at which an option holder can buy (call option) or sell (put option) the underlying asset.

Intrinsic Value

The actual, true value of a company or an asset based on underlying perception of its true value including all aspects of the business, in terms of both tangible and intangible factors.

Pure Discount Loan

A type of loan where the borrower receives a sum of money upfront and repays a greater amount at the end of the term, with no periodic interest payments.