Free CMD Budgeting & ROI Evaluation Questions and Answers

Question 1

What does ROI stand for in marketing?

Accepted Answer

Return on Investment

Answer

Rate of Interaction

Answer

Revenue Over Income

Answer

Reach of Influence

Question 2

What is the formula to calculate ROI?

Accepted Answer

(Profit ÷ Cost) × 100

Answer

Cost ÷ Revenue × 100

Answer

Revenue × Cost

Answer

Cost × Time

Question 3

Which budget type is based on previous year’s spending?

Accepted Answer

Incremental budgeting

Answer

Zero-based budgeting

Answer

Flexible budgeting

Answer

Activity-based budgeting

Question 4

What is a marketing KPI?

Accepted Answer

Key Performance Indicator

Answer

Kitchen Production Index

Answer

Key Productivity Initiative

Answer

Knowledge Process Insight

Question 5

Why is cost control essential in marketing?

Accepted Answer

To monitor and manage expenses

Answer

To eliminate the need for planning

Answer

To spend as much as possible

Answer

To avoid tracking

Question 6

Which tool helps allocate and track marketing expenses?

Accepted Answer

Spreadsheet or budget platform

Answer

Email marketing tool

Answer

Web browser

Answer

Content calendar

Question 7

Which metric best evaluates campaign profitability?

Accepted Answer

CPA - Cost per Acquisition

Answer

CPM - Cost per Thousand

Answer

CTR - Click Through Rate

Answer

Engagement rate

Question 8

What is the benefit of zero-based budgeting?

Accepted Answer

Requires full justification

Answer

Carries over old expenses

Answer

Ignores new goals

Answer

Sets arbitrary limits

Question 9

Which marketing activity is most cost-efficient long-term?

Accepted Answer

Content marketing

Answer

TV commercials

Answer

Billboard ads

Answer

Cold calling