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Ne4ueva [31]
3 years ago
11

Which of the following is a likely problem for a manager who uses sales as a measure of advertising effectiveness? a. Sales offe

r little guidance or direction to those responsible for planning and developing the advertising program. b. There is often a long period between when advertising is run and when sales actually occur. c. Other marketing mix variables besides advertising can affect sales results. d. The marketing and competitive environment can influence sales. e. All of the above are likely problems for a manager who uses sales as a measure of advertising effectiveness.
Business
1 answer:
alexandr402 [8]3 years ago
8 0

Answer: a. Sales offer little guidance or direction to those responsible for planning and developing the advertising program.

Explanation:

Advertisement is when a particular good.or service is being promoted so as to increase the sales and generate more profit.

Sales is the selling of goods or rendering of a particular service by a business to its consumers.

In this case, the likely problem for a manager who uses sales as a measure of advertising effectiveness will be that sales offer little guidance or direction to those responsible for planning and developing the advertising program. When sales is used to determine how successful an advertising is, it gives little guidance to those in charge of developing the program.

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The demand curve and supply curve will shift leftwards.

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Management team of Wolverine Corp. is considering the purchase of a new piece of equipment. They believe that new equipment is m
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Answer:

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a. The accounting rate of return = 50%

b. The payback period = 6 years ($200,000 * 6)

c. The net present value = ($39,600)

d. The net present value at 15% = ($237,200)

Explanation:

a) Data and Calculations:

Initial investment cost in new equipment = $1,200,000

Annual incremental net income from cost savings = $200,000

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Salvage value = $200,000 * 0.467         93,400

Total benefits                                     $1,160,400

NPV =                                                    ($39,600)

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Annual incremental savings:

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Salvage value = $200,000 * 0.327         65,400

Total benefits                                      $962,800

NPV =                                                  ($237,200)

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