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A company spends $100,000 on a direct mail piece and increases revenue from $2,200,000 to $2,700,000 as a result of the mailing. The contribution margin

A company spends $100,000 on a direct mail piece and increases revenue from $2,200,000 to $2,700,000 as a result of the mailing. The contribution margin for the company is 15%. What is the company's ROMI for the direct mail campaign; and would you recommend that they proceed with the campaign?

Question 3Select one:

a.

-25%; Do not recommend to proceed with the campaign.

b.

75%; Recommend to proceed with the campaign.

c.

-75%; Do not recommend to proceed with the campaign.

d.

-25%; Recommend to proceed with the campaign.

e.

25%; Recommend to proceed with the campaign.

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