PLEASE ANSWER BOTH QUESTIONS THEY ARE IN 2 PARTS EACH. THANK YOU!

You are an account manager for an advertising agency. You have been assigned a client to work on a campaign. Based on your past campaigns, you know on average your campaigns generate additional revenue of $75,000. You also know that the contribution margin is 45%. The cost of the campaign includes production work of $1,000 + your fee of $5,000. The client has asked to include a celebrity in their campaign, which will now result in a sponsorship fee of $20,000. What is the clients new ROMI? 462.5% 68.75% 35% None of the answer choices are correct You are an account manager for an advertising agency. You have been assigned a client to work on a campaign. Based on your past campaigns, you know on average your campaigns generate additional revenue of $75,000. You also know that the contribution margin is 45%. The cost of the campaign includes production work of $1,000 + your fee of $5,000. If your client wants to achieve a ROMI of 125%, what should you charge for your fee in order to achieve the desired ROMI? $15,000 $10,000 $14,000 $9,000 Shelley's Shop, a local coffee chain, wants to achieve a return on marketing investment of at least 35%. The Shop has hired three independent marketing agencies to come up with an awareness campaign that will achieve this goal. The table below outlines the campaign proposal from each agency. Agency A Agency B Agency C Incremental Revenue $500,000 $330,000 $350,000 Promotional Costs $160,000 $100,000 $80,000 Additional Marketing Collateral Costs $30,000 $10,000 $5,000 Contribution Margin 50% 35% 45% C= (350*45-(85)/85-85.294 What is the ROMI proposed by Agency C? 76% 85% 45% 97% Shelley's Shop, a local coffee chain, wants to achieve a return on marketing investment of at least 35%. The Shop has hired three independent marketing agencies to come up with an awareness campaign that will achieve this goal. The table below outlines the campaign proposal from each agency. Agency A Agency B Agency C Incremental Revenue $500,000 $330,000 $350,000 Promotional Costs $160,000 $100,000 $80,000 Additional Marketing Collateral Costs $30,000 $10,000 $5,000 Contribution Margin 50% 35% 45% What is the ROMI proposed by Agency B? 16% 35% 5% 67%