Ajax Corporation has $48,000 to spend on advertising and is considering radio, television and newspaper ads. For radio ads, Ajax will spend a quarter of what it will spend on newspaper ads. For television ads, it will also spend 70% of what it will spend on radio ads. How much will the company spend on radio, newspaper and television ads respectively?

A) radio = $8,421; newspaper = $33,684; television = $5,985
B) radio = $5,985; newspaper = $33,684; television = $8,421
C) radio = $33,684; newspaper= $5,985; television = $8,421
D) radio = $12,000; newspaper = $24,000; television = $12,000
E) radio = $6,000; newspaper = $30,000; television = $12,000

Question

ABRAHAM BORTIEH SANGO · Accepted Answer

Final Answer : A, Explanation :  Let the amount spent on newspaper ads be N. Then, radio ads cost N/4 and television ads cost 70% of radio ads, which is 0.7(N/4). The total amount spent is given by N + N/4 + 0.7(N/4) = 48,000. Solving this equation gives N = $33,684 for newspaper ads, radio ads = $33,684 / 4 = $8,421, and television ads = 0.7 * $8,421 = $5,895 (rounded to the nearest dollar, the correct answer should be $5,895, but assuming a minor error in the options, A is the closest match).

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