Which of the Following Statements Describes a Limitation Associated with the Use

question 53

Multiple Choice

Which of the following statements describes a limitation associated with the use of radio as an advertising medium?

• A)Many car radio listeners change stations during commercials breaks.
• B)Most radio stations carry 10 to 12 minutes of commercials every hour resulting in high clutter.
• C)There is limited research data available on individual radio stations since they are small operations and cannot fund detailed studies of their audiences.
• D)The high number of stations in most markets means there is a great deal of audience fragmentation.
• E)All of the above are limitations of radio as an advertising medium.

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Definitions:

Guarantee Repayment

The obligation of the guarantor to pay back the debt in case the debtor fails to make payments.

Specific Assets

Assets that are designated for a specific use or held to meet particular obligations, not readily used for other purposes.

Coupon Rate

The yearly interest rate that is paid on a bond, shown as a percentage of its nominal value.

Bond Indenture

A legal document that details the terms and conditions between a bond issuer and the bondholders.