Many Publications Base Their Rates on _____ and Give Refunds

question 33

Multiple Choice

Many publications base their rates on _____ and give refunds to advertisers if the number of delivered magazines is below that quantity.

• A)total circulation
• B)primary circulation
• C)guaranteed circulation
• D)circulation verification
• E)rebate circulation

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Definitions:

Fixed Cost

Expenses that do not change in proportion to the level of goods or services produced by a business.

Author Royalties

Author royalties are payments made by publishers to authors for the right to use, produce, or sell the authors' creations, usually a percentage of sales.

Fixed Cost

Expenses that do not change in relation to the level of goods or services produced over a certain period.

Variable Cost

Costs that change in proportion to the good or service that a business produces, such as materials and labor directly involved in production.