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1、MEDIABUYINGANDPLANNINGWORKSHEET–ANSWERKEYADVERTISING&PUBLICRELATIONS1.CalculatetheAverageFrequencyofexposuregiventheFrequencyDistributionbelow.%ofAudienceExposureExposedFrequency10%240%450%3100%(10%)x(2)+(40%)x(4)+(50%)x(3)=3.3times2.Amanagerisdecidingwhethertoairanad
2、duringProgramAorB.Thefollowingdataareavailable:ProgramCosttoAirAdAdProductionCostRatingProgramA$100,000$20,00010ProgramB$50,000$20,0005a.CalculateCostPerPoint(CPP)foreachprogramoption.WhichoptionisbetterbasedonCPP?A:CPP=$100,000/10=$10,000perpointB:CPP=$50,000/5=$10,0
3、00perpointCPPsareequivalent,sobreakthetiebyincludingAdProductionCostA:CPP=($100,000+$20,000)/10=$12,000perpointB:CPP=($50,000+$20,000)/5=$14,000perpointNowProgramAseemslikethebetteroptionsinceitsCPPislower.b.CalculateCostPerThousand(CPM)foreachprogramoption.Whichoptio
4、nisbetterbasedonCPM?12A:CPM=[$100,000/(10x1MM)]x1,000=$10perMB:CPP=[$50,000/(5x1MM)]x1,000=$10perMCPMsareequivalent,sobreakthetiebyincludingAdProductionCostA:CPP=[($100,000+$20,000)/(10x1MM)]x1,000=$12perMB:CPP=[($50,000+$20,000)/(5x1MM)]x1,000=$14perMNowProgramAseems
5、likethebetteroptionsinceitsCPMislower.·Note:CPPandCPMalwaysgivethesameanswer!1.AmanagerisdecidingwhethertoairanadduringProgramAorB.Thefollowingdataareavailable:TotalProgramPlannedGrossRatingCosttoAirAdsAdProductionCostRatingFrequencyPoints(GRPs)ProgramA$800,000$100,00
6、010810x8=80GRPSProgramB$500,000$100,000565x6=30GRPSa.Fillintherightmostcolumn“GrossRatingPoints”(GRPs).Seeaboveb.CalculateCostPerPoint(CPP)forprogramsAandB.WhichoptionisbetterbasedonCPP?*Note:Iamnotincludingproductioncostssincetheyarethesameacrossbothoptions,butyoucou
7、ldincludethemifdesired.A:CPP=$800,000/80=$10,000perpt.B:CPP=$500,000/30=$16,667perpt.ProgramAisbetterbecauseithasalowerCPP.12a.CalculateCostPerThousand(CPM)forprogramsAandB.WhichoptionisbetterbasedonCPM?*Note:Iamnotincludingproductioncostssincetheyarethesameacrossboth
8、options,butyoucouldincludethemifdesired.A:CPM=[$800,000/(80x1MM)]x1,000=$10perMB:CPM=[$500,000/(30x1MM)]x1,000=$16.67perMPro
