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QUESTION

You have a food truck and want to reach people who are nearby on their mobile phones. Your maximum cost-per-click (max. CPC) bid is US$1. You set a mobile bid adjustment of +20% and a location bid adjustment of +50%. What’s the final bid amount?

US$1.70

US$1.80

US$2

US$2.80

The correct answer is:

US$1.80

You have a food truck and want to reach people who are nearby on their mobile phones. Your maximum cost-per-click (max. CPC) bid is US$1. You set a mobile bid adjustment of +20% and a location bid adjustment of +50%. What’s the final bid amount?
Explanation:

The bid adjustments are set by percentages.

Lets say you’ve got a campaign that performs well on mobile devices with a max CPC bid of US$1.

To show your ad to more customers on mobile devices, you increase your bid by 20% for searches on mobile devices, resulting in a final bid amount of US$1.20.

here: 1 + 1*20% + 1.20*50% = US $ 1.80

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You have a food truck and want to reach people who are nearby on their mobile phones. Your maximum cost-per-click (max. CPC) bid is US$1. You set a mobile bid adjustment of +20% and a location bid adjustment of +50%. What’s the final bid amount?