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Komok [63]
3 years ago
5

Last year, you set aside an advertising budget of $5,000 to place ads in different newspapers, social media platforms, and the l

ocal radio station, The
local radio station typically costs $2,500 for a three-month advertising season. But as a first-time advertiser, the station offers you a deal and provides you
with a $500 discount
calculate the budget variance and identify wether its a budget surplus or a budget deficit.
Business
1 answer:
aleksandrvk [35]3 years ago
8 0

Based on the discount offered and the cost of advertising, your budget variance is <u>$500 </u>and it is a <u>surplus</u>.

<h3>How much do you spend on advertising?</h3>

You need to advertise for 6 months which means that you will pay for two three-month advertising seasons.

The first season will cost $2,000 because of the discount and the second season will cost $2,500. Total cost is:

= 2,000 + 2,500

= $4,500

<h3>What is the Budget surplus?</h3>

= Budget - Amount spent

= 5,000 - 4,500

= $500

Find out more on budget variance at brainly.com/question/25625268.

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