Given the numbers reported below, build a budget using the methods discussed in the course. You must show your calculation and resulting budget in the space provided: 4 Points

NOTE: You need to show the calculation to get full points

• Budget using the Objective Task Method
• Budget using the Affordability Method calculating a Payout point
• Budget using the Percentage of Sales Method

Budget #1:A clothing manufacturer is planning promotional events in key markets during the month of November. They requested their agency of record to make a budget for the promotional period. The agency will present the budget with a 20% agency profit or markup. Using these tactical costs, calculate the budget they will present to the client:

• Production of POP/POS materials: $15,000
• Out-of-Home production: $5,000
• Out-of-home placement: 12,500
• Television/radio commercial production: $17,000
• Television/radio airtime: $38,000
• Brand Ambassadors: $8,000
• Talent fees: $10,000
• Radio Remotes: $15,000
• WHAT IS THE GRAND TOTAL = ________________

Calculate the Payout Point:Based on the approved budget #1, the company sells 9,000 units per month with an average profit of $10.00 per item. How many units do they need to sell to payout the promotional budget investment?

QUESTIONS:

• Payout Point in units sold OR Percentage %: ________________

Budget #2:The client sells approximately $12 million dollars annually and is allocating 10% as their marketing annual budget, which is the category competitive budget allocation. What is their projected annual marketing budget?

• WHAT IS THE GRAND TOTAL = ________________