Many Celebrities Are Paid to Endorse Products,but Celebrity Endorsements Do

Many celebrities are paid to endorse products,but celebrity endorsements do come with risks.Once a firm is associated with a celebrity,consumers associate the product with the celebrity.This association can turn negative if the celebrity gets arrested or becomes associated with an embarrassing scandal.Should a company whose celebrity endorser was just arrested be guided by the amount it has already poured into making ads featuring the celebrity in its decision about whether or not to cancel the ad campaign?

A) Yes, even in the case of negative publicity, celebrity endorsements really do have a significant effect on consumer choice so the amount already spent to purchase this endorsement is relevant.
B) No, the amount spent to launch the campaign is a sunk cost; the firm's primary concern at this point is the effect of the negative publicity on the product's image.
C) Yes, a firm must take in all costs in deciding whether or not to yank the campaign. If the revenue loss (due to the negative publicity) is small compared to the cost of the campaign, then it makes sense to continue the campaign.
D) No, although the amount spent to launch the campaign cannot be recovered, the firm can still reap some benefit by taking out another ad in support of the celebrity.