AdCreate negotiated a rate of $12\mathrm{.}5\%$ for a commission system payment with Worry Free Financial for a campaign in $2016.$ AdCreate arranged for the airing of three ads, during Newshour on CNN$,$ in the first week of the launch campaign. AdCreate's income for these three ads in the first week was $$49,375.$ Based on this information, which of the following is true?

I. The client $($Worry Free Financial$)$ paid AdCreate $$425,625$ for the three ads.

II$.$ AdCreate paid CNN $$425,625$ for the three ads.

III. AdCreate paid CNN $$345,625$ for the three ads.

Multiple Choice

The client $($Worry Free Financial$)$ paid AdCreate $$425,625$ for the three ads.

AdCreate would earn more if it used the percentage$-$based approach rather than a negotiated contract.

The client $($Worry Free Financial$)$ paid AdCreate $$345,625$ for the three ads.

AdCreate paid CNN $$425,625$ for the three ads.

AdCreate paid CNN $$345,625$ for the three ads.