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    Advertising spend

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    The Mona Company expects to sell 40,000 Jump-Ups during the coming year. The advertising manager has decided to spend $1 on advertising for each unit expected to be sold.

    The method that the manager is using to determine how much to spend on advertising is:

    Percentage of sales
    Percentage of profits
    Unit sales method
    Objective-task method

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    Solution Summary

    The solution explains the method used in deciding the amount to spend on advertising