In Selecting an Advertising Agency,all of the Following Issues Should

question 17

Multiple Choice

In selecting an advertising agency,all of the following issues should be taken into consideration except:

• A)company organization.
• B)national responsiveness.
• C)area coverage.
• D)buyer perception.
• E)franchise or company owned status.

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Definitions:

Expense

Outflows of economic resources or the incurring of liabilities (or a combination of both) during a period due to the production of goods, rendering of services, or other activities that constitute the entity’s ongoing major operations.

Asset

An asset is a resource with economic value that an individual, corporation, or country owns or controls with the expectation that it will provide future benefit.

Liability

An obligation or debt that an entity owes to another party, which is expected to be settled through the transfer of assets or services.

Variable Costs

Costs that vary directly with the level of production output or sales volume, such as materials and labor.