Suppose the Following Information: the Cost of a Full Page

question 266

Multiple Choice

Suppose the following information: The cost of a full page color ad in the U.S.national edition of The Wall Street Journal (newspaper) is $327,897 and its U.S.audience size is 1,566,027.The cost of a full page color ad in the U.S.national edition Sports Illustrated (magazine) is $396,600 and has an audience size of 3,000,000.The cost of a 30-second ad on the most recent Super Bowl (television) is $3,800,000 and has an audience size of 108,400,000.Using this information,which of the following is the most appropriate metric to use to determine which medium would provide the most efficient use of your limited resources?

• A)reach
• B)frequency
• C)CPM
• D)rating
• E)GRP

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Definitions:

Due Diligence

The process of thoroughly investigating the accuracy of information before signing a franchise (or any other) agreement.

Fact Finding

The process of gathering information and data to understand a subject or resolve an issue comprehensively.

Industry Averages

Statistical metrics that represent the standard or average performance, productivity, or financial health of companies within a certain industry.

Expenses

Costs incurred in the process of generating revenue, including operational costs like rent, utilities, salaries, and materials.