The Ideal Advertisement Will Do All of the Following Except

question 22

Multiple Choice

The ideal advertisement will do all of the following except:

• A) Differentiate the company
• B) Promise a benefit that will be provided
• C) Capitalize on word- of- mouth advertising
• D) Explain advantages and disadvantages

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Definitions:

Annuity

A finite series of equal payments at equal intervals of time. In an ordinary annuity the payments occur at the ends of the time periods. In an annuity due, they occur at the beginnings.

Discounted Value

The present value of a future amount of money or a series of cash flows, adjusted for time value of money.

Annuity

A financial product that pays out a fixed stream of payments to an individual, usually used as an income stream in retirement.

Present Value

The immediate value of a prospective amount of money or cash flow series, determined by a specific rate of return.