An Advertising Firm Found That a Certain Ad That Ran

question 8

Multiple Choice

An advertising firm found that a certain ad that ran on both radio and TV was only heard on the radio by 23 percent of the people and was only seen on TV by 32 percent of the people. Just 14 percent of the population both heard the ad on the radio and saw it on TV. What percent of the people in the area only heard the ad on radio or only saw the ad on TV?

• A) 73 percent
• B) 9 percent
• C) 27 percent
• D) 18 percent
• E) 86 percent

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Definitions:

Financial Reporting

The method of generating reports that reveal the financial condition of a company to its management, investors, and governmental bodies.

Conversion Cost

The total expense of converting raw materials into finished goods, including both direct labor and manufacturing overhead.

Manufacturing Overhead

Indirect factory-related costs that are incurred when a product is manufactured, including costs for management, equipment maintenance, and factory utilities.

Direct Labor Cost

This cost includes wages and benefits paid to employees who are directly involved in producing goods or providing services.