The Probability That the Cost of Developing the New Ad

question 77

Multiple Choice

The probability that the cost of developing the new ad campaign can be kept within the original budget allocation is 0.40. Assuming that the two events are independent, the probability that neither the cost is kept within budget nor the campaign will increase sales is:

• A) 0.12
• B) 0.32
• C) 0.68
• D) 0.88

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Definitions:

Marketing

The business process of identifying, anticipating, and satisfying customers' needs through the creation and exchange of value.

Gray Market

Pertains to the trade of goods through distribution channels that are legal but unintended by the original manufacturer.

Inflation Rate

The rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

Environmental Forces

External factors such as political, economic, social, technological, legal, and environmental issues that can affect a business's operation and performance.