Jane’s e-commerce site sells a wide variety of bicycle equipment. She wants to estimate her profit-per-conversion for each ad group to get a sense of which ad groups are immediately profitable in the short term. Which formula best estimates Jane’s profit-per-conversion before advertising expenses?

Jane’s e-commerce site sells a wide variety of bicycle equipment. She wants to estimate her profit-per-conversion for each ad group to get a sense of which ad groups are immediately profitable in the short term. Which formula best estimates Jane’s profit-per-conversion before advertising expenses?

A) (Avg Profit per Order) * (Conversion Rate)
B) (Total Profit) / (Total Revenue)
C) (Avg Revenue per Order) * (Profit Margin)
D) (Avg CPC) * (Conversion Rate)

Answer: C