Identify the Statement That Does Not Pertain to the Percent-Of-Sales

Multiple Choice

Identify the statement that does not pertain to the percent-of-sales approach of determining advertising spending.

A) This method is popular with higher-priced merchandise, such as automobiles or appliances.
B) This is one of the most popular rule-of-thumb methods, and its appeal is found in its simplicity.
C) In this approach the firm simply takes a percentage figure and applies it to either past or future sales.
D) The percent-of-sales approach is popular in retailing.