Exhibit 7.1 The Following Questions Are Based on the Problem Below

question 3

Multiple Choice

Exhibit 7.1
The following questions are based on the problem below.
A company wants to advertise on TV and radio. The company wants to produce about 6 TV ads and 12 radio ads. Each TV ad costs $20,000 and is viewed by 10 million people. Radio ads cost $10,000 and are heard by 7 million people. The company wants to reach about 140 million people, and spend about $200,000 for all the ads. The problem has been set up in the following Excel spreadsheet.
-Refer to Exhibit 7.1. If the company is very concerned about going over the $200,000 budget, which cell value should change and how should it change?

• A) D13, increase
• B) D13, decrease
• C) D14, increase
• D) D14, decrease

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Definitions:

User Requirements

Specifications or conditions defined by users that a system, product, or service must meet to be considered satisfactory.

Economic Feasibility

Assessment of the financial aspects of a project or system to evaluate whether the projected benefits outweigh the costs, ensuring it is economically viable.

Financial Risk

The possibility of losing money on an investment or business venture.

Project Completion

The final stage in a project where all tasks have been finished and the project objectives have been met.