YourName_Problem_Set5

# YourName_Problem_Set5 - Problem Set 5 1 Tammy Monahan is...

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Problem Set 5 1. Tammy Monahan is considering the purchase of a home entertainment center. The product attributes and weights she plans to consider are: portability .1 sound projection .6 warranty .3 Tammy rated the brands as follows: portability sound projection warranty Brand A 6 8 7 Brand B 9 6 8 Brand C 5 9 6 Using the Consumer Buying Matrix presented in Chapter 8, conduct a quantitative product evaluation rating for each brand. What other factors is Tammy likely to consider when making her purchase? Brand A: (.1 6) + (.6 8) + (.3 7) = 7.5 Brand B: (.1 9) + (.6 6) + (.3 8) = 6.9 Brand C: (.1 5) + (.6 9) + (.3 6) = 7.7 Tammy should also consider many other factors such as store location, availability of service, brand reputation, experience of others, and shipping costs. 2. Based on the following, calculate the costs of buying and of leasing a motor vehicle. Purchase Costs Leasing Costs Down payment \$1,500 Security deposit \$500 Loan payment \$450 for 48 months Lease payment \$450 for 36 months Estimated value at End of loan \$4,000

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