Which of the Following Is NOT an Advantage of Direct

question 138

Multiple Choice

Which of the following is NOT an advantage of direct mail?

• A) reaches a highly targeted audience
• B) builds in feedback
• C) personalizes the message
• D) simplifies calculation of return on investment
• E) provides a low cost per thousand

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Definitions:

EBIT-EPS Line

A graphical representation showing the impact of financial leverage on a company's earnings per share at various levels of earnings before interest and taxes.

Financial Leverage

The use of borrowed funds to increase the potential return on investment, often measured by the ratio of a company's debt to its equity.

Financial Risk

The possibility of losing money on an investment or business venture; includes market risk, credit risk, liquidity risk, and operational risk, among others.

Shareholders

Individuals or entities that own shares in a corporation, granting them rights to dividends and a say in company affairs proportional to their shareholding.