Suppose the Cost of a Full-Page Color Ad in the U.S

question 128

Multiple Choice

Suppose the cost of a full-page color ad in the U.S. national edition of The Wall Street Journal (newspaper) is $327,897 and its U.S. audience size is 1,566,027. The cost of a full-page color ad in the U.S. national edition of USA Today (newspaper) is $207,720 and its U.S. audience size is 1,711,696. The cost of a full-page color ad in the U.S. national edition of Bloomberg Businessweek (magazine) is $148,300 with an audience size of 900,000. The cost of a full-page color ad in the U.S. national edition of Sports Illustrated (magazine) is $396,600 and has an audience size of 3,000,000. The cost of a 30-second ad on the most recent Super Bowl telecast is $3,800,000 and has an audience size of 108,400,000. Which of the five media alternatives has the lowest CPM?

• A) The Wall Street Journal
• B) USA Today
• C) Bloomberg Businessweek
• D) Sports Illustrated
• E) Super Bowl

Calculate and interpret days' sales in inventory.

Understand the impact of inventory valuation methods on gross profit and cost of goods sold.

Identify and correct inaccuracies in inventory valuation.

Assess the effect of costing method, inventory system, and other factors on inventory cost accounting.

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Definitions:

Net Operating Income

The total profit of a company after subtracting operating expenses but before deducting taxes and interest.

Price Reduction

A decrease in the regular selling price of a product or service, usually to stimulate sales or clear inventory.

Value-Based Pricing

is a strategy under which the sale price of a product or service is determined primarily by the perceived value to the customer rather than by the cost of production.

Preventive Maintenance

Regular and systematic inspection, cleaning, and replacement of worn parts, materials, and systems to prevent unforeseen failures and maximize efficiency.