In which method does a company set a brand's advertising budget by simply establishing the budget as a fixed percentage of past or anticipated sales volume?
A) revenue-based method
B) percentage-of-sales method
C) affordability method
D) competitive parity method
E) objective-and-task method

Question

In which method does a company set a brand's advertising budget by simply establishing the budget as a fixed percentage of past or anticipated sales volume? 
A) revenue-based method 
B) percentage-of-sales method 
C) affordability method 
D) competitive parity method 
E) objective-and-task method

Quizplus · Accepted Answer

The method described in the question is the percentage-of-sales method, where the advertising budget is set as a fixed percentage of past or anticipated sales volume.

In Which Method Does a Company Set a Brand's Advertising