Archives: Solution Manual

CHAPTER 4: CUSTOMER PERCEPTIONS OF SERVICE CHAPTER TOPICS Customer Perceptions Customer Satisfaction Service Quality Service Encounters: The Building Blocks for Customer Perceptions Technology Spotlight: Customers Love Amazon Global Feature: Differences In Service Quality Perceptions and Rage Across Cultures Strategy Insight: […]

DISCUSSION QUESTIONS 1. What is the difference between desired service and adequate service? Why would a services marketer need to understand both types of service expectations? Desired service expectations are the upper bound on customer expectations—the level of service the […]

CHAPTER 3: CUSTOMER EXPECTATIONS OF SERVICE CHAPTER TOPICS Service Expectations Factors that Influence Customer Expectations of Service Issues Involving Customers’ Service Expectations Technology Spotlight: Customer Expectations of Airport Services Using Technology Global Feature: Global Outsourcing of Personal Services: What Are […]

DISCUSSION QUESTIONS 1. Think about a service you receive. Is there a gap between your expectations and perceptions of that service? What do you expect that you do not receive? If students understand the concept of the customer gap—that is, […]

CHAPTER 2: CONCEPTUAL FRAMEWORK OF THE BOOK: THE GAPS MODEL OF SERVICE QUALITY CHAPTER TOPICS The Customer Gap The Provider Gaps Putting It All Together: Closing the Gaps  Technology Spotlight: Technology’s Critical Impact on the Gaps Model of Service […]

DISCUSSION QUESTIONS 1. What distinguishes service offerings from customer service? Provide specific examples. Service offerings are intangible products offered for sale to customers. These can be services sold to business customers (e.g., consulting services, shipping services, maintenance services) or to […]

CHAPTER 1: INTRODUCTION TO SERVICES CHAPTER TOPICS What are Services? Why Service Marketing? Service and Technology Characteristics of Services Service Marketing Mix Staying Focused on the Customer  Technology Spotlight: The Changing Face of Customer Service Global Feature: The Migration […]

CHAPTER 16 Zooming In Critical Thinking Answers Can novice job seekers predict what a job interview will involve? Surprisingly enough, even novice job seekers can closely predict what a job interview will entail. Most interviewers ask similar questions, sometimes in […]

CHAPTER 15 Zooming In Critical Thinking Answers You are still in college, and the world of work may be way off in the future. Why, then, is it important to research the job market and even prepare a résumé if […]

CHAPTER 14 Zooming In Critical Thinking Answers Why is the “so what” of a presentation so important? Audiences are focused on what’s in it for them, so presentations that focus on audience benefits are more effective. Analyzing your audience and […]

CHAPTER 13 Zooming In Critical Thinking Answers Why are proposals vitally important to a company such as SpaceX? As is typical in the aerospace industry, SpaceX’s business is largely program based. NASA’s awards to SpaceX are based on the space […]

CHAPTER 12 Zooming In Critical Thinking Answers Why are reports so important to organizations? Factual, unbiased information is the lifeblood of business and other organizations. Sound decision making and problem solving are impossible Why do nonprofit organizations such as Pew […]

CHAPTER 11 Zooming In Critical Thinking Answers Why are reports so important to organizations? Factual, unbiased information is the lifeblood of business and other Why do nonprofit organizations such as Pew Research Center provide their data free to the public? […]

10.10 Persuasive Claim: Waikiki Beach Country Club Gets Scammed on Phony Toner Phoner Current date Copy Machine Specialists 4320 Admiralty Way Honolulu, HI 96643 Ladies and Gentlemen: SUBJECT: Returning Two Bottles of Toner 10.11 Persuasive Claim: No Champagne for Breakfast […]

CHAPTER 10 Zooming In Critical Thinking Answers Why is using a gentle, soft-sell approach so important to persuasion? Communicators alienate their audiences when they are perceived as pushy. No one likes to be coerced into buying something, and it’s likely […]

9.8 Document for Analysis: Shooting Down Request for Salary Star Info Weaknesses a. Turns off the reader with an immediate blunt announcement of bad news. b. Uses an accusatory tone and even suggests possible litigation resulting from the request. Revision […]

CHAPTER 9 Zooming In Critical Thinking Answers Suppose you made an honest mistake that could prove expensive for your employer or internship provider. Would you blurt out the bad news immediately, or consider strategies to soften the blow somewhat? Revealing […]

8.8 Direct Request: Seeking a Social Media Specialist To: Doug Goodwin <doug.goodwin@mediaresources.com> From: [Your name] Subject: Searching for Advice and Information About Social Media Experts Dear Mr. Goodwin: You have been recommended by HomeCenter CEO John Brauburger as a trusted […]

CHAPTER 8 Zooming In Critical Thinking Answers Why should you be prudent when sending or forwarding insensitive comments, even from your personal device? Once a message is sent, the originator has no control over who will see it. Electronic messages […]

CHAPTER 7 Zooming In Critical Thinking Answers Why should you be prudent when sending or forwarding insensitive comments, even from your personal device? Once a message is sent, the originator has no control over who will see it. Electronic messages […]

CHAPTER 6 Zooming In Critical Thinking Answers  Assume that a recently hired culinary product manager is charged with generating and implementing new menu suggestions. What role does communication skill play in this person’s effectiveness in completing this task? Even […]

CHAPTER 5 Zooming In Critical Thinking Answers In what ways would research (gathering information) have helped the founders of MyEvent.com move beyond their original wedding platform and remain relevant in the rapidly changing world of Internet businesses? Collecting information is […]

CHAPTER 4 Zooming In Critical Thinking Answers Do you remember the proverb declaring that if you give a man a fish, you feed him for a day; if you teach him how to fish, you feed him for a lifetime? […]

CHAPTER 3 Zooming In Critical Thinking Answers When creating its international expansion policy, Walmart at first followed the advice of Harvard business professor Theodore Levitt. His famous article “The Globalization of Markets” advocated standardization, not localization. “Gone are accustomed differences […]

CHAPTER 2 Zooming In Critical Thinking Answers What is meant by the term culture fit, and why is it beneficial for both employer and employee? A company culture, or its personality, includes its corporate values, ethics, mission, and work environment. […]

CHAPTER 1 Zooming In Critical Thinking Answers After reading this case study, can you put into perspective the suggestion “have fun and be yourself”? What exactly does this invitation mean? The invitation to “have fun and be yourself” is issued […]

Chapter 16 CFIN5 Chapter 16 Solutions 16-1 The following table shows the initial forecast and the AFN: Current Growth Initial Forecast Total assets $800,000 x 1.20 $960,000 $800,000 $836,000 AFN $124,000 Sales $250,000 x 1.20 $300,000 Net profit margin 5.0% […]

Chapter 15 CFIN5 Chapter 15 Solutions 15-1 Following is the cash budget for the next three months: Month 1 Month 2 Month 3 Sales $130,000 $130,000 $130,000 Raw materials 91,000 91,000 91,000 Cash Receipts: Collection of sales in month of […]

Chapter 14 CFIN5 Chapter 14 Solutions 14-1 Inventory conversion period = 45 days DSO = 30 days DPO = 20 days a. Cash conversion cycle = 45 days + 30 days – 20 days = 55 days 14-2 Sales = […]

Chapter 13 CFIN5 Chapter 13 Solutions 13-1 Capital budget = $50,000,000 13-2 Capital budget = $120,000 Debt/assets ratio = 50% Net income = $100,000 Amount of capital budget that will be raised using equity = $120,000 x (1 – 0.5) […]

Chapter 12 CFIN5 Chapter 12 Solutions 12-1 Sales $200,000 Variable operating costs (60%) (120,000) 12-2 Total assets = $6,000,000 Shares of stock = 80,000 EBIT = $700,000 70% debt 40% debt EBIT $700,000 $700,000 Interest (504 ,000) (216 ,000) Earnings […]

Chapter 11 CFIN5 Chapter 11 Solutions 11-1 a. Equation solution (set up): é ù –é ù ê ú + = + ê ú ê ú + ë û ê ú ë û 10 10 1 11 (1 YTM) $1,077 $60 […]

Chapter 10 CFIN5 Chapter 10 Solutions 10-1 a. 1 3 Operating income before depreciation $25,000 $25,000 Depreciation* (19 ,800) ( 9 ,000) b. 1 3 After-tax NOI $ 3,120 $ 9,600 ADD: depreciation (non-cash expense) 19 ,800 9 ,000 Operating […]

Chapter 9 CFIN5 Chapter 9 Solutions 9-1 6 1 1(1.10) Value PV of CFs 36,950 36,950(4.355261) 160,926.88 0.10 é ù – ê ú ê ú = = = = ê ú ê ú ë û 9-2 a. 4 1 1(1.16) […]

5Chapter 8 CFIN5 Chapter 8 Solutions 8-1 a. r ˆ = (0.2)(19%) + (0.7)(9%) + (0.1)(4%) = 10.5% b. 2 2 2 = (0.2)(19 – 10.5 + (0.7)(9 – 10.5 + (0.1)(4 – 10.5 20.25 4.5% ) ) ) s […]

Chapter 7 CFIN5 Chapter 7 Solutions 7-1 Total dollar return per share = ($19 – $20) + 4($0.20) = -$0.20 a. $19 – $20 $0.80 -$0.20 Rate of = 0.01 1.0% return $20 $20 $20 + = =- =- b. […]

Chapter 6 CFIN5 Chapter 6 Solutions 6-1 $1,000 Minimum $40 stock price 25 = = 6-2 a. Each bond can be converted into 40 shares of common stock. b. $1,000 Minimum $25 stock price 40 = = ; As long […]

Chapter 5 CFIN5 Chapter 5 Solutions 5-1 1,000($29-$28)+1,000(4 0.10) $1.40 Return= = =0.05=5.0% 1,000($28) $28 ´ 5-2 40($9-$10)+40(0.50) -$0.50 Return= = =-0.05=-5.0% 40($10) $10 5-3 ($44-$42)+2(0.05) $2.10 Return= = =0.05=5.0% $42 $42 5-4 $156-$150+0 $6 Return= = =0.04=4.0% $150 $150 […]

Chapter 4 CFIN5 Chapter 4 Solutions (Most solutions are rounded in the final answers, not in the intermediate computations.) 0 1 2 3 4 4-1 -700 FV = ? 0 1 2 14 15 4-2 -2,500 FV = ? FV15 […]

Chapter 3 CFIN5 Chapter 3 Solutions 3-1 Free and efficient financial markets allocate funds more efficiently than would occur without free financial markets. As a result, the real output of the economy is increased with such financial markets; 3-2 In […]

Chapter 2 CFIN5 Chapter 2 Solutions 2-1 Publically-traded companies are required to provide adequate financial information to their shareholders. Information generally is provided through financial reports that a company periodically produces, which 2-2 (a) The balance sheet shows, at a […]

Chapter 1 CFIN5 Chapter 1 Solutions 1-1 Finance deals with decisions about money. Finance decisions deal with how money is raised and used 1-2 Simply stated, everyone should have a basic understanding of finance because everyone faces financial decisions daily, […]

CHAPTER 20 FINANCIAL PLANNING AND INVESTING IN AN EFFICIENT MARKET CONTEXT This brief chapter provides one last opportunity to review major concepts. These include: 1. Investing is a means to achieve financial objectives. Investing is not an end unto itself. […]

CHAPTER 19 COMMODITY AND FINANCIAL FUTURES Teaching Guides for the Questions and Problems in the Text QUESTIONS 19-1. A futures contract is an agreement for the purchase or sale of a commodity, financial asset, or currency at a specified time […]

18-13. a. This problem illustrates a bear spread designed to profit from a decline in the price of the stock. The investor purchases the option with the $20 strike price for $2 and sells the other option for $5. The […]

CHAPTER 18 OPTION VALUATION AND STRATEGIES Teaching Guides for Questions and Problems in the Text QUESTIONS 18-1. The Black/Scholes option valuation model specifies variables that affect the value of an option. As these variables change, so does the value of […]

17-8. a. An in-the-money option must have positive intrinsic value. The intrinsic values of the options are Call at $45: $47 – 45 = $2 Call at $50: $47 – 50 = nil Only the call with the $45 strike […]

CHAPTER 17 AN INTRODUCTION TO OPTIONS Teaching Guides for Questions and Problems in the Text QUESTIONS 1. An option is a right to do something. With regard to investing, an option is the right to buy (or to sell) stock […]

CHAPTER 16 CONVERTIBLE BONDS AND CONVERTIBLE PREFERRED STOCK Teaching Guides for Questions and Problems in the Text QUESTIONS 16-1. Convertible bonds may be exchanged at the holder’s option for a specified number of shares of the firm’s stock. Nonconvertible debt […]

15-10. The purpose of problem 10 is to examine the effect of different interest rates and varying lengths of time on the amount of the mortgage payment. To reduce calculations, the student is asked to construct the mortgage schedule for […]