1. Fakeout, a fake vomit manufacturer is considering buying advertisements in two magazines to try and sell more fake vomit.  Jokes 'R Us has a readership of approximately 72,000 people per monthly issue, while Magicians Monthly has a readership of 58,000 per issue.  They estimate that about 21% of the people who read Jokes 'R Us also read Magicians Monthly.

 

1. If Magicians Monthly charges $1450 per advertisement, what is the CPM for their magazine? 65% of Magicians Monthly readers are actual magicians.  What is the CPM for magicians only? (5pts)
2. What is the net reach if Fakeout runs a single ad in each magazine? (5pts)
3. Fakeout negotiates a deal where if they buy ads for 6 consecutive months they will get a 20% discount for Magicians Monthly (use the price from the first question). If they get a net impressions of 215,000 what is the average expected frequency for the entire campaign? (5pts)
4. If 15% of Jokes R' Us readers are magicians, and 35% of those magicians also read Magicians Monthly, what is the net reach for magicians by placing a single ad in both magazines? (5pts)