Use the Information Below to Answer the Following Question(s)

question 2

Multiple Choice

Use the information below to answer the following question(s) :
Pittinger Company manufactures cuckoo clocks and uses an activity-based costing system. Each cuckoo clock consists of 10 separate parts totaling $120 in direct materials, and requires 2.0 hours of machine time to produce. Additional information follows:

-What is the cost of materials handling per cuckoo clock?

• A) $3.00
• B) $5.00
• C) $4.50
• D) $12.50

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Definitions:

Heavy Advertising

A marketing strategy involving a high frequency or high volume of advertisements over a period to increase product or brand visibility.

Mass Media

Channels that are ideal for reaching large numbers of anonymous audience members; include national newspapers, magazines, radio, and television.

Advertising Channel

A medium through which an advertising message is transmitted to its intended audience, such as television, radio, internet, etc.

Media Mix

The combination of the media used and the frequency of advertising in each medium.