The USPostal Service (USPS)argues That Its Express Service Is Comparable to to What

question 102

Multiple Choice

The U.S.Postal Service (USPS) argues that its express service is comparable to what is offered by FedEx and that its prices are much lower.Yet,FedEx dominates with more than a 45 percent share of the express-delivery market.Which of the following statement describes this situation?

• A) The USPS is perceived as offering greater customer value.
• B) FedEx is perceived as offering greater customer value.
• C) FedEx and the USPS offer the same customer value.
• D) Customer value is not an issue in deciding which express-delivery service to use.
• E) The USPS should lower its prices even further to increase market share.

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Definitions:

Coupon Rate

Annual interest rate on a bond, shown as a percentage based on its face value.

Clean Price

The price of a bond without the addition of accrued interest, reflecting just the bond's face value and market conditions.

Coupon Rate

The yearly payment rate on a bond, expressed in percentage relative to its face value.

Yield

A measure often used in finance to indicate the earnings generated and realized on an investment over a particular period, expressed as a percentage of the investment's cost.