What method of budgeting is generally Melinda Salzer @Berkeley Advertising

Question 94 / 200: What method of budgeting is generally considered to be the poorest way of determining advertising expenditures?

A The residual approach because no attempt is made to connect advertising dollars with marketing
goals

B Setting levels based on the competition's advertising budget because your company will not
be able to achieve a competitive advantage

C Fixed percentage of sales because this method is inflexible

D The task method because budgeting by setting objectives is ineffective

E None of the above; all methods are equally good for determining an advertising budget.

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Prof.Melinda SalzerProfessor

Berkeley College

USA

Attribution: Charles Jumper and Melinda Salzer. Advertising & Promotion (The Saylor Academy 2014), http://www.saylor.org/courses/bus306/

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