4. Perkins paper is the Midwest's largest distributor of paper towels to restaurants and offices. They have created a YouTube ad targeting restaurants and companies, promoting their environmentally friendly line. Their cost per view is $0.22, with a conversion rate of 3%. The average net profit resulting per order from this You Tube ad conversion is $300 (each company that makes a purchase after watching the video, spends $300 on average). Are the ads worth continuing to run? Why or why not? Explain your reasoning with calculation. (2 points) |