Banner ad development $(6$ banners per quarter$)$

$$7,200$

Banner ad placement

$$1\mathrm{.}50$ per thousand impressions

Estimated ad impressions

$1,000,000$

Banner ad click$-$throughs

$$0\mathrm{.}60$ per click$-$through

From past experience, Kimland Media estimates that $1\%$ of all viewers will $$click through$$ the banner ad to Bohlander$$s website. Of those viewers who click through, Kimland estimates that $20\%$ will actually make a purchase.

Required

What is the expected total cost per quarter of Bohlander$$s Internet advertising campaign?

Given Sami$$s cost estimates, what is Bohlander$$s expected cost of acquiring a new customer through the campaign?

Using the information you just calculated, what is the estimated cost to get one more person to click through and make a purchase?