Which of the Following Is an Example of a "Smart

question 2

Multiple Choice

Which of the following is an example of a "smart" marketing objective?

• A) Skittles will target 17-year-old boys in order to increase consumption by 80,000 lbs. in the next calendar year.
• B) Bob has been told by his manager to grow his number of clients this year.
• C) Heinz plans to increase ketchup sales in Ontario by 6% this year.
• D) The purpose of Mr. Clean's advertising is to show home owners how it can be used to fight grime all around the house.

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Definitions:

Average Tax Rate

The average tax rate is the proportion of total taxable income paid in taxes, calculated by dividing the total tax paid by the total income.

Marginal Tax Rate

The rate at which the last dollar of income is taxed.

Lump-Sum Tax Rate

A tax that is a fixed amount, no matter the change in circumstance of the taxed entity. This creates a situation where the tax burden falls more heavily on those with lower income or profit.

Marginal Tax Rate

The amount of tax applied to an additional dollar of income, often used in progressive tax systems.