Geico, the number-two auto insurer with $15 billion in revenue last year, spent $0.9 billion on advertising that year and plans to continue spending the same percentage of sales on advertising next year. the average advertising-to-sales ratio for the insurance industry is 0.1 percent of sales. if geico projects $20 billion in sales next year, using the percentage-of-sales method of advertising budgeting, how much will the company budget for advertising of basing it on projected sales?

$1.54 billion

Explanation:

Geico advertising to sales ratio for last year = advertising/sales = 1.1/15 = 7.3333%  

Advertising expense based on projected sales = 21*7.3333% = 1.54 $billion $

and the advertising expense based on industry average = 21*.4% = .084 $billion  

The insurer Geico is spending much higher than industry spend on advertising. The correct answer is $1.54 billion .

Based on how the triangle looks and the directions given, you know that this is a right triangle.

You can use the Pythagorean Theorem, which is a^2 + b^2 = c^2, with c being the hypotenuse. If you plug in the values, you get

6^2 + 8^2 = c^2

36 + 64 = c^2

100 = c^2

√100 = √c^2

c = 10

This means that Robert traveled 10 kilometers on the way back home, HOWEVER, it asks for the round trip distance. He traveled 14 km on the way there and 10 km on the way back, which means the round trip distance is 24 km.

I hope this makes sense!