Pretests Are

question 117

Multiple Choice

Pretests are

• A) tests conducted before an advertisement is placed in various media to determine which medium best reaches its intended target market.
• B) tests conducted among company personnel to determine which advertising campaign most closely matches the firm's goals and objectives.
• C) tests conducted with an advertisement for a product to prospective consumers under realistic purchase conditions to see if they will buy.
• D) tests conducted before an advertisement is placed in any medium to determine whether the advertisement communicates the intended message or to select between alternative versions of the advertisement.
• E) sample ad campaigns submitted by competing advertising agencies before receiving a formal contract for that account.

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Definitions:

Purchases Account

An account used in the accounting for all goods bought for resale or for use in the production process.

Net Income

The total earnings of a company after subtracting all expenses from revenues, including taxes and interest, showcasing the company's financial performance over a specific period.

Operating Expenses

Expenses related to the day-to-day functions of a business outside of cost of goods sold.

Gross Profit

Gross Profit is the financial metric representing the difference between revenue and the cost of goods sold (COGS), before deducting overheads, payroll, taxation, and interest payments.