Google Adword Fundamental Question & Answer 17

81. A lower CPA does not necessarily indicate higher profit. Why?

 A) A lower CPA may be due to changes in CPC bidding

 B) A lower CPA may also have lower sales volume, reducing overall profit

 C) A lower CPA may be due to additions in negative keywords

 D) A lower CPA may be due to changes in network distribution

Answer: A lower CPA may also have lower sales volume, reducing overall profit

82. Which best describes the "Optimize" ad rotation setting in AdWords?

 A) The "Optimize" ad rotation setting allows your campaign to show ads more often, which can increase impressions

 B) The "Optimize" ad rotation setting allows your campaign to automatically show the most relevant display URL for each ad

 C) The "Optimize" ad rotation setting allows the AdWords system to automatically show the better performing ads more often

 D) The "Optimize" ad rotation setting allows two of the ads from the ad group to show to a user on the same page

Answer: The "Optimize" ad rotation setting allows the AdWords system to automatically show the better performing ads more often

83. In order for cost-per-click (CPC) ads and cost-per-thousand impressions (CPM) ads to compete with each other in the same auction on the Google Display Network, the AdWords system converts the CPC ads bid to:

 A) a CPM

 B) an effective CPM

 C) an effective CPM conversion

 D) a CPM conversion

Answer: an effective CPM conversion

84. Advertising on TV, print, and radio typically requires a predetermined budget. What key differences enable some online advertising campaigns to invest with more flexibility without a predetermined budget in mind?

 A) AdWords budgets can only be set once annually and require a fixed commitment

 B) Online campaigns are highly measurable and can often automate a positive ROI. It can be strategic to capture all traffic without a predetermined budget as long as ROI is positive

 C) Online campaigns generate clicks, whereas other channels generate exposure

 D) Budgets cannot be applied to online campaigns due to constant changes in traffic

Answer: Online campaigns are highly measurable and can often automate a positive ROI. It can be strategic to capture all traffic without a predetermined budget as long as ROI is positive

85. Your client is interested in switching from TV, print, and radio advertising. What are the return on investment (ROI) benefits of online advertising campaigns over traditional media advertising?

 A) AdWords budgets can only be set once annually and require a fixed commitment

 B) Traditional media is not always measurable, but online campaigns are highly measurable and you can analyze your click data

 C) Online campaigns generate clicks, whereas other channels generate exposure

 D) Budgets cannot be applied to online campaigns due to constant changes in traffic

Answer: Traditional media is not always measurable, but online campaigns are highly measurable and you can analyze your click data