Read the following passage and mark the letter A, B, C, or D on your answer sheet to indicate the correct answer to each of the questions from 35 to 42 

THE INFLUENCE OF ADVERTISING ON PRICING

     Advertising makes an immense difference in the popularity of a product. Studies have shown that consumers usually pay more for advertised products than non-advertised products. As a result, the marketing and advertising industry is a multibillion-dollar-a-year business. Local commercials can cost as little as several hundred dollars to products, while national companies have been known to spend hundreds of thousands of dollars on a single commercial. Interestingly, the source of these expensive commercials is the consumers who view the advertisements from the comfort of their living room. Companies influence the prices that consumers pay in two ways. 

     When consumers purchase any products, they are obviously paying for the cost of manufacturing the product. However, they are also paying for the advertising campaign devised to convince consumers to buy the product. The more costly the advertising campaign, the higher the price paid by consumers. Companies are allowed to set these high prices because consumers have shown that they will continue to pay them. For instance, a multinational chain of coffee shops significantly raised its prices a few years ago, due in no small part to an expensive national advertising campaign. While regular customers noticed and were not fond of the hike, one was quoted as saying, “I doubt it will make an impact [on consumers]. It won’t change my habit.” Indeed, it did not, the company experienced record sales in spite of the fact its prices were higher than its competitors’. 

          Another way advertising tends to affect product pricing is seen in the arena of perceived value to the consumers. The perceived value is the worth that consumers assign to a product. Studies show that often the advertising for a product determines its value more than the quality or necessity of the product itself. One way a company may take advantage of this perceived value is by running commercials during prime time. These ads are usually much more expensive than others. For example, a national commercial that ran during a popular American show cost close to $745,000 to run for thirty seconds. If people watching the show perceive that the product is more valuable simply because it was advertised during prime time, they are often willing to pay higher prices. So, whether it is seen in the cost of the commercials or the advertiser-assigned value, it is obvious that advertising drives product pricing and directly affects consumers

Which of the following is true about the effect of higher-priced ad campaign?

 

Mark the letter A, B, C, or D on your answer sheet to indicate the correct answer to each of the following questions

If this animal had escaped from its cage, it could ______ have killed or maimed several people

Mark the letter A, B, C, or D on your answer sheet to indicate the sentence that best combines each pair of sentences in the following questions

We spend about one-third of our lives sleeping. We know relatively little about sleep

Read the following passage and mark the letter A, B, C, or D on your answer sheet to indicate the correct answer to each of the questions from 30 to 34 

          In general, the influence of Anglo patrons has been much less pronounced on Hispanic arts than on American Indian arts. The Hispanic crafts revival was confined to a much shorter period of time, beginning in the early 1920's, reaching its peak in the late 1930's, and dying down by the Second World War, less than 20 years. During this period, in spite of the enthusiasm of the wealthy Anglo patrons in northern New Mexico, Hispanic crafts never "caught on" nationally in the way American Indian crafts did. Interest was fairly well limited to the Southwest and Southern California, the areas in which the adobe hacienda revival was taking place. The major interest in Hispanic crafts was as furnishings for these comfortable Southwestern-style adobe homes. These crafts were not, as were American Indian crafts viewed as valuable art objects in themselves purchased with an eye for speculation. Hispanic arts to, a great degree have been ignored by the speculative Anglo art market. A beneficial consequence of this oversight is that the artisans have been freer to work according to their own standards and within their own traditions. Their work has not been "emptied of previous vital meanings" and become a meaningless revival. as has so much ethnic art of this day. Rather it has remained as an object of cultural pride and identity and not simply the product of the tastes and demands of the art market

What does this passage mainly discuss? 

Mark the letter A, B, C, or D on your answer sheet to indicate the correct answer to each of the following questions

You should go ______ the report before you submit it to the director of the company

Mark the letter A, B, C, or D on your answer sheet to indicate the correct answer to each of the following questions

All the workers complained that the price of food had increased so that their ______ of living had fallen

Read the following passage and mark the letter A, B, C, or D on your answer sheet to indicate the correct answer to each of the questions from 35 to 42 

THE INFLUENCE OF ADVERTISING ON PRICING

     Advertising makes an immense difference in the popularity of a product. Studies have shown that consumers usually pay more for advertised products than non-advertised products. As a result, the marketing and advertising industry is a multibillion-dollar-a-year business. Local commercials can cost as little as several hundred dollars to products, while national companies have been known to spend hundreds of thousands of dollars on a single commercial. Interestingly, the source of these expensive commercials is the consumers who view the advertisements from the comfort of their living room. Companies influence the prices that consumers pay in two ways. 

     When consumers purchase any products, they are obviously paying for the cost of manufacturing the product. However, they are also paying for the advertising campaign devised to convince consumers to buy the product. The more costly the advertising campaign, the higher the price paid by consumers. Companies are allowed to set these high prices because consumers have shown that they will continue to pay them. For instance, a multinational chain of coffee shops significantly raised its prices a few years ago, due in no small part to an expensive national advertising campaign. While regular customers noticed and were not fond of the hike, one was quoted as saying, “I doubt it will make an impact [on consumers]. It won’t change my habit.” Indeed, it did not, the company experienced record sales in spite of the fact its prices were higher than its competitors’. 

          Another way advertising tends to affect product pricing is seen in the arena of perceived value to the consumers. The perceived value is the worth that consumers assign to a product. Studies show that often the advertising for a product determines its value more than the quality or necessity of the product itself. One way a company may take advantage of this perceived value is by running commercials during prime time. These ads are usually much more expensive than others. For example, a national commercial that ran during a popular American show cost close to $745,000 to run for thirty seconds. If people watching the show perceive that the product is more valuable simply because it was advertised during prime time, they are often willing to pay higher prices. So, whether it is seen in the cost of the commercials or the advertiser-assigned value, it is obvious that advertising drives product pricing and directly affects consumers

Which of the following can be inferred about pricing and advertising?

Mark the letter A, B, C, or D on your answer sheet to indicate the word whose underlined part differs from the other three in pronunciation in each of the following questions