The manager of a neighborhood hobby shop has decided that this year,due to an adverse local economy,she can only afford to spend $1,200 promoting through newspaper and radio advertisements.The manager is utilizing the _____ method in determining the shop's advertising budget.

Question

Quizplus · Accepted Answer

The affordable method is used when a company sets a budget based on what it can afford to spend on advertising. This method does not take into account specific marketing goals or the company's sales history. In this case, the manager has determined that the shop can only afford to spend $1,200 on advertising due to the adverse local economy.

The Manager of a Neighborhood Hobby Shop Has Decided That