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Defining the communications objectives to be accomplished and then, estimating the costs associated with the performance of the necessary strategies and activities to achieve such objectives are steps in the _ method of budgeting. A. competitive parity B. payout planning C. return on captial D. return on investment E. objective and task

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Answer: E. objective and task

Explanation: This is simply the objective and task method of budgeting which uses a build-up approach and defines clearly the communication objectives to be accomplished (isolating advertising objectives) and the estimation of the associated costs of the performance of the required strategies and activities to achieve the communication objectives. This method of budgeting, however, is most difficult to use when the product to be promoted is new to the market.

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