Propose That You Work for Taco Bell and You Advertise

question 86

Multiple Choice

Propose that you work for Taco Bell and you advertise during The Voice.Its rating is 19.This is equal to 21.3 million TVs.The Voice charges $300,000 for a 30-second ad.If a meal contribution at Taco Bell is $0.20, what percentage of viewers needs to buy a meal to break even on the ad costs?

• A) 10%
• B) 7%
• C) 4%
• D) 2%

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Definitions:

Entrepreneurship

The process of designing, launching, and running a new business or startup.

Expected Future Cash Flows

The projected amount of money a company expects to receive and pay out over future periods.

Risk

The exposure to potential financial loss or gain, often measured by the variability of returns.

Limited Liability Protection

A legal structure that shields a company's owners from being personally responsible for the company's debts or liabilities.