Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. i do not understand how to do the high low method

I do not understand how to do the High Low method Lawson Advertising...

70.2K

Verified Solution

Question

Finance

I do not understand how to do the High Low method

image

Lawson Advertising Agency is trying to persuade Kansas City Sailboards Company to spend more on advertising. The agency's argument is that a constant and strong positive relationship exists between advertising and sales in the sailboard industry. Sue Lawson presents these data taken from industry data for stores similar in size and market share to Kansas City Sailboards: Advertising Expense Annual Sales $ 96,000 10,000 124,000 138,000 143.000 147,000 150,000 $ 2,500 3,000 3,500 4.000 4,500 5,000 5,500 Required 1. Use the high-low method to estimate the relationship between increased advertising and sales Amount of increased sales for every dollar of advertising 51,000 2. Graph annual sales and advertising expense. (Use the line tool to draw the annual sales and advertising expense. To earn full credit for this graph you must plot all required points for each curve. While plotting the points a tool icon will pop up. You can use this to enter exact co-ordinates for your points as needed.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Explain the reasons for changes in beta and explain if one should be more concerned with...

Finance
Q

ANSWER ALL 11 QUESTIONS PLEASE DON'T !!! ANSWER IF YOU DON'T KNOW ALL THE ANSWERS THANK YOU. 1....

Medical Sciences
Q

Q1 The crank of a slider mechanism rotates clockwise at a constant speed of 300 rpm....

Mechanical Engineering
Q

The Damon family owns a large grape vineyard in western New York along Lake Erie. The...

Statistics
Q

Part a The population The population is a group of clients of this counselor The...

Basic Math
Q

Find the midpoint M of the line segment joining the points A 4 1 and...

Algebra
Q

Factoring Trinomials a 1 Factor each completely 1 b 8b 7 3 m m 90...

Algebra
Q

1 Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based...

Accounting
Q

What are specific key performance (operating or financial) metrics used to gauge performance of city...

Accounting
Q

Culver Suppliers reported cost of goods sold for 2017 of $820,000 and retained earnings of...

Accounting
Q

company A is selling a product for $120. The contribution margin is 20%. Company A...

Accounting
Q

Convers Corporation (calendar year-end) acquired the following assets during the current tax year: (ignore 179...

Accounting