When Using the Percentage-Of-Sales Approach for Determining the Advertising Appropriation

question 13

Multiple Choice

When using the percentage-of-sales approach for determining the advertising appropriation, marketers

• A) base their funding on a percentage of the competitors' sales.
• B) multiply the firm's past sales by a set percentage they want to spend.
• C) set sales objectives for the upcoming period and base appropriations on these goals.
• D) multiply the firm's past sales plus a factor for expected changes in sales times a standard percentage.
• E) use an industry standard to determine what percentage of their profits they want to allocate to advertising.

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Definitions:

Sensitivity

The ability to detect or respond to slight changes, signals, or influences; often used in the context of diagnostic tests or sensory perception.

Gender Awareness

The understanding and recognition of gender and its implications in society, including the awareness of gender roles and identities.

Concrete External Traits

Observable and measurable characteristics or behaviors of individuals that are not open to interpretation.

Gender Constancy

The understanding that one's gender identity is fixed and constant, regardless of changes in appearance or behavior.