Selling widgets advertises through three types of media

Assignment Help Business Economics
Reference no: EM13834300

A company selling widgets advertises through three types of media: print, television and internet. Recently the company has decided to increase its advertising budget by $100,000. In order to determine where the additional money should be spent, the company increased print advertising for a month by $5,000 and attracted 50 new customers. The following month, the print advertising was decreased back to its original level and television advertising was increased by $20,000 and attracted 175 new customers. In the third month, television advertising was decreased to its original level and internet advertising was increased by $2,500 and attracted 30 new customers.

Given this data, what can you say about where the $100,000 increase should go?

How would you check to determine if you made the correct decision?

Reference no: EM13834300

Questions Cloud

Relationships and partnerships both upstream and downstream : Why has supply chain management become so important in recent years? What has changed in terms of business and marketing resulting in growing emphasis on the development of relationships and partnerships both upstream and downstream?
Produces and distributes electricity has mostly fixed costs : A firm that produces and distributes electricity has mostly fixed costs. It also tends to be the only provider of electricity in its market. This is an example of pure monopoly resulting from the firm:
What are the pros and cons of the economic stimulus bill : What are the pros and cons of the Economic Stimulus Bill (The American Recovery and reinvestment act of 2009). Provide your arguments and defence for a method to jump start the U.S. economy in a time of recession.
Suppose that long term interest rates in the economy : Suppose that long term interest rates in the economy were increasing due to strong economic growth and demand for loans in the world economy. Meanwhile suppose that the Fed was holding down its federal funds rate target. What would probably be happen..
Selling widgets advertises through three types of media : A company selling widgets advertises through three types of media: print, television and internet. Recently the company has decided to increase its advertising budget by $100,000. In order to determine where the additional money should be spent, the ..
Produces baseball mitts and soccer balls : Consider a nation that produces baseball mitts and soccer balls.  The following table shows the possible combinations of the two products: Baseball Mitts     0    2    4    6   8 Soccer Balls       30  24  18  10  0
The steps that the fed can do to stimulate the economy : What are the steps that the Fed can do to stimulate the economy? What are problems with those types of policies? How do you know that they will work?
Prepare a contribution format income statement : Fill in the following table with your estimates of total cost and average cost per cup of coffee at the identical level of activity for a coffee stand. Round off the cost of a cup of coffee to the nearest tenth of a cent. Does the average cost per cu..
Determine the objects average velocity over time interval : determine the object's average velocity over the time interval

Reviews

Write a Review

Business Economics Questions & Answers

  Current equilibrium price for personal computers

Assuming the most typical shapes of the demand and supply curves, which of the following could lead to an increase in the current equilibrium price for personal computers?

  What are the market forces leading to this quantity

is this the same quantity that the competitive market would have provided in equilibrium? What are the market forces leading to this quantity?

  Calculate the short and long run price elasticities

According to a study of US cigarette sales between 1955 and 1985, when the price of cigarettes was 1% higher, consumption would be 0.4% lower in the short run and 0.75% lower in the long run (Becker et al., 1994).

  Most macroeconomists believe it is a good thing

Most macroeconomists believe it is a good thing to taxes act as automatic stabilizers also lower the size of the multiplier.

  What should you have done prior to firing steward to be sure

if you human director at casino, what should you have done prior to firing steward to be sure you had all of your bases covered.

  Give an example of a government created monopoly is

give an example of a government created monopoly. is creating this monopoly necessarily bad public policy?explain two

  The benefit-cost ratio-mass-transit

New buses for a mass-transit agency cost $10 million and are expected to last for 10 years with a $1 million salvage value. The buses cost $500,000 to operate and maintain each year. If the system is used for 624,318 trips per year, with the average ..

  Question 1 in the x11 multiplicative decomposition method y

question 1. in the x11 multiplicative decomposition method y t x c x s x epsilon an ma 3 smoother is applied to the

  Show the marginal revenue product curves

Draw a graph that shows the marginal revenue product curves of the two franchises. Make sure your axes are properly labeled. Show the equilibrium level of competitive balance and the equilibrium level of player salaries.

  Implications of savings and population growth

Illustrate what are the implications of savings and population growth at steady a state in the Solow's neoclassical growth model.

  What is the equilibrium level of income

Assume that when an economy has a GDP of $500, Consumption is $550. The MPC is .75. Investment is 25. Begin the problem by setting up an Income/Consumption Schedule like the one on page 220 of your text. Set up only the first two columns (1) and (2)...

  What is your own view on poverty

What is your own view on poverty and Do you consider your view to lean towards the liberal or conservative view of poverty?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd