You have been told that a company increased its marketing effort from $2 million to $5 m and that the same company increased its sales revenue from $12 million to $21 million. Calculate the company's ratio of incremental sales revenue to incremental marketing effor

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The incremental sales revenue is $21 million - $12 million = $9 million. The incremental marketing effort is $5 million - $2 million = $3 million. Therefore, the ratio of incremental sales revenue to incremental marketing effort is $9 million : $3 million = 3:1.

You Have Been Told That a Company Increased Its Marketing