You have been asked to conduct a study related to consumer loyalty toward three different retail formats (i.e., department stores, specialty stores, and off-price retailers). After gathering background information, you decide to focus your study on three research streams; retail service quality, consumer satisfaction, and consumer loyalty. The literature suggests that there are five dimensions of retail service quality; physical aspect, reliability, personal interaction, problem solving, and policy. In addition, you are interested in identifying factors (i.e., retail service quality) that may contribute to consumer satisfaction and consumer loyalty toward these retailers. According to the literature, consumer satisfaction is a unidimensional construct and consumer loyalty consists of two dimensions; word-of-mouth and behavioral intention

State the null hypothesis and the alternative hypothesis

What are the dependent and independent variables

What statistical test would you run in SPSS

Dobbs Wholesale Antiques makes all sales under terms of FOB shipping point. The company usually ships inventory to customers approximately one week after receiving the order. For orders received late in December, Kathy Dobbs, the owner, decides when to ship the goods. If profits are already at an acceptable level, Dobbs delays shipment until January. If profits for the current year are lagging behind expectations, Dobbs ships the goods during December.

Requirements

1.   Under Dobbs’s FOB policy, when should the company record a sale?

2.   Do you approve or disapprove of Dobbs’s manner of deciding when to ship goods to customers and record the sales revenue? If you approve, give your reason. If you disapprove, identify a better way to decide when to ship goods. (There is no accounting rule against Dobbs’s practice.)

Bon Appétit is a French restaurant that recently increased the average price of its
meals by 4%. As a result, the number of customers dropped by 3%. Based on this
information, what is the price elasticity of demand for meals at Bon Appétit? How
will this 4% increase of the average price of meals impact total revenue at Bon
Appétit?
(10 points)
Another French restaurant in the area that competes with Bon Appétit decided to
reduce the average price of its meals by 3%. How will this decision likely impact
the demand for meals at Bon Appétit?
(5 points)
Assume that the average disposable income in the area in which operates
increases by 5% over the last year. As a result, the number of customers at Bon
Appétit increased by 3%. Based on this information, what is the income elasticity
of demand for meals at
Bon Appétit? Are meals at Bon Appétit considered normal goods?
(10 points)

A small equipment rental facility has nine appliance dollies. There are 14 customers every day who request this equipment. If the equipment is not available, they leave and go to a competing rental facility. Customers arrive evenly over a 12-hour period (6am to 6pm), 7 days per week. The average rental duration is 6 hours.

a. What is the likelihood that a customer going to the rental facility will find an appliance dolly available?

b. Assume each 6-hour rental is $10. How much revenue does the store make per week from the dollies?

c. Assume that a promotional campaign gives gift card worth $5 if the dolly is unavailable. What is the total gift card value that the store will have to issue on average per week?

d. What would be the payback time (not considering interest rates) in days for purchasing an additional dolly at $200?

Under Dobbs’s FOB policy, when should the company record a sale?

Do you approve or disapprove of Dobbs’s manner of deciding when to ship goods to customers and record the sales revenue? If you approve, give your reason. If you disapprove, identify a better way to decide when to ship goods. (There is no accounting rule against Dobbs’s practice.)

E13.12 Apply definition and recognition criteria for revenues. LO7

The Conceptual Framework defines revenues and outlines a number of criteria for their recognition. Surfin’ Magazines Ltd identifies the following independent transactions and events:

(a) Received $24 000 in subscriptions for magazines to be delivered once per month for the next 12 months.

(b) Received dividends from IAG for shares owned by the business.

(c) Paid interest on a loan to purchase a delivery vehicle.

(d) Received a discount for early payment of a supplier’s invoice.

(e) Delivered magazines for the month for customers who had paid in advance.

(f) Delivered magazines and invoices to customers who had not prepaid their

subscriptions.

Required

For each of the items listed above, explain whether you would recognise it as revenue in the statement of profit or loss. Refer to the definition and recognition criteria outlined in the Conceptual Framework to support your answer.

At the end of the year, a company offered to buy 4,200 units of a product from X Company for a special price of $11.00 each instead of the company's regular price. The following information relates to the 69,100 units of the product that X Company has already made and sold to its regular customers:

The special order product has some unique features that will require additional material costs of $0.90 per unit and the rental of special equipment for $3,000.

The marketing manager thinks that if X Company accepts the special order, regular customers will be lost, with demand falling by 800 units. This loss in sales will cause firm profits to fall by ______________?

A food manufacturing company needs a data mart to summarize facts about orders to move goods. Some orders transfer goods internally, some are purchases from vendors, and some are returns of goods from customers. The company needs to treat customers, vendors, plants, and storage locations as distinct dimensions that can be involved at both ends of a movement event. For each type of destination or origin, the company wants to know the type of location (i.e. customer, vendor, etc.) name, city, and state. Facts about each movement include dollar volume moved, cost of movement, and revenue collected from the move (if any, and this can be negative for a return). Design a star-type schema to represent this data mart. Hint- after you design a typical star schema, think about how you might simplify the design through the use of generalization.

Cicchetti Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of December:

Prepare the company's flexible budget performance report for December. Select each variance as favorable (F), unfavorable (U) or "None".

Cicchetti Corporation uses customers served as its measure of activity. The following report compares the planning budget to the actual operating results for the month of December: Cicchetti Corporation Comparison of Actual Results to Planning Budget For the Month Ended December 31 Actual Results Planning Budget Variances Customers served 34,000 29,500 Revenue ($4.8q) $ 164,000 $ 141,600 $ 22,400 F Expenses: Wages and salaries ($37,100 + $1.6q) 94,600 84,300 10,300 U Supplies ($0.6q) 20,000 17,700 2,300 U Insurance ($14,100) 14,350 14,100 250 U Miscellaneous expense ($7,100 + $0.4q) 22,450 18,900 3,550 U Total expense 151,400 135,000 16,400 U Net operating income $ 12,600 $ 6,600 $ 6,000 F

Prepare the company's flexible budget performance report for December. Select each variance as favorable (F), unfavorable (U) or "None".