One factor the AdWords system uses to calculate an ad’s actual cost-per-click (CPC) is the:

1. location targeting of the ad showing one position lower on the page
2. maximum CPC bid of the ad showing in the #1 position on the page
3. maximum CPC bid of the ad showing one position lower on the page
4. cost-per-thousand impressions (CPM) of the ad showing one position lower on the page

100% Correct Answer

• maximum CPC bid of the ad showing one position lower on the page