Neco 2024 Commerce Question 35

Practice objective / multiple choice question 35 from the 2024 Neco Commerce examination.

Neco 2024 Commerce Objective / Multiple Choice Hard Difficulty
Question 35 NECO • 2024 • COMMERCE • objective

An advertising campaign costs \(\text{₦}2,500,000\). It reaches 500,000 people, each seeing the advertisement an average of 3 times. Historical data shows that each exposure raises the probability of purchase by 0.02\% (i.e., 0.0002), independently of other exposures. The product price is \(\text{₦}8,000\) and the profit margin is 25\% of the price. Assuming the reached people constitute the whole target market, estimate the expected profit from the campaign and compute the return on investment (ROI) as a percentage, rounded to the nearest whole percent. Give the ROI value.

Answer Options

Correct Answer A. -76
B. -85
C. -60
D. -70
Correct Answer
A
Correct Option:
-76

About This Question

This is Neco 2024 Commerce Question 35. It is one of the objective questions from the 2024 Neco Commerce examination.

Difficulty level: Hard .

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