A motel chain knows a full-page ad in a general-interest magazine would cost $150,000; the magazine’s total audience is 5 million: 1 million of whom are part of the chain’s target market. A full-page ad in a travel magazine would cost $40,000; its total audience is 325,000: 275,000 of whom are part of the chain’s target market. Which magazine should be selected?
A motel chain knows a full-page ad in a general-interest magazine would cost $150,000; the magazine’s total audience is 5 million: 1 million of whom are part of the chain’s target market. A full-page ad in a travel magazine would cost $40,000; its total audience is 325,000: 275,000 of whom are part of the chain’s target market. Which magazine should be selected?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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A motel chain knows a full-page ad in a general-interest magazine would cost $150,000; the magazine’s total audience is 5 million: 1 million of whom are part of the chain’s target market. A full-page ad in a travel magazine would cost $40,000; its total audience is 325,000: 275,000 of whom are part of the chain’s target market. Which magazine should be selected? Why?
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