A Business Hopes to Generate Large Online Sales Through Posting

question 110

Multiple Choice

A business hopes to generate large online sales through posting ads on social networking sites but only wants to pay when an ad actually generates a sale. That firm should use the performance measure of

• A) cost per thousand, and pay 50 cents for every time an ad loads, up to $100 per month.
• B) a negotiated measure, and pay $100 to post its ad for two weeks.
• C) cost per click, and pay $1 for every visitor who clicks on the ad and goes to its website.
• D) cost per action, and pay $50 for every purchase that originated from an ad on the site.
• E) cost per like, and pay $1 for every unique visitor who likes the advertised product.

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Definitions:

Mortgage Pass-Through

A type of security that pools mortgage loans and passes the principal and interest payments from borrowers to investors.

Mortgage Loans

Long-term loans used to purchase real estate property, secured by the property itself.

General Obligation Bonds

Bonds issued by municipalities that are backed by the full faith and credit of the issuing government, promising to repay the debt with general revenue.

Revenue Bond

A type of municipal bond supported by the revenue from a specific project, such as a toll bridge or highway.