Sweepstakes and Contests

question 63

Multiple Choice

Sweepstakes and contests:

• A)are primarily used to move consumers into the conviction stage of the hierarchy of effects model.
• B)can be used to generate excitement and involvement with a popular and timely event.
• C)contribute minimally to consumer franchise building.
• D)do not distract from consumer franchise building activities.
• E)are synonymous to one another.

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Definitions:

Marketable Securities

Financial instruments that can be easily converted to cash, such as stocks, bonds, and Treasury bills.

Earnings Per Share

A metric used to measure a company’s profitability, calculated as the company's net profit divided by the number of outstanding shares.

Net Income

The total profit of a company after all expenses, including taxes and operating costs, have been subtracted from total revenues.

Common Shares Outstanding

The total number of shares of common stock that are issued and actively held by shareholders, excluding treasury shares.