Company XYZs annual marketing expenditure budget has averaged $30,000 over the past 5 years. Sales revenues have averaged $100,000 annually with a gross margin of 50% (note, gross margin doesn't include marketing expenditure). The company is considering the possibility of increasing their marketing budget by 50% in 2014.  But they will not do so unless they get a ROMI of 200% on this additional investment.

 

What will total 2014 sales have to be to meet this objective?

Answer rating: 100% (QA)

To figure out the total 2014 sales needed to achieve a return on marketing investment ROMI of 200 wi... View the full answer