Given a base bid of $5.00 and a willingness to pay for specific user criteria, how much would a user fitting all three criteria cost?

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To determine the cost for a user fitting all three criteria given a base bid of $5.00, it’s important to understand how the bidding system operates in programmatic advertising. A base bid is essentially the starting price an advertiser is willing to pay for an impression.

When applying specific user criteria, the cost may increase based on the perceived value of reaching that specific audience. The values are generally based on multipliers associated with each additional criterion. If the problem refers to three criteria, these could be cumulative—suggesting that each criterion adds a certain percentage or fixed cost to the base bid.

Considering that the answer provided is $11.25, one plausible scenario could be that each user criterion adds 50% of the base bid to the original amount. Here’s a breakdown of how that could work:

  1. Start with the base bid: $5.00.

  2. If each of the three criteria adds 50% of the base bid, you can calculate the total cost by adding $2.50 for each criterion (50% of $5.00).

  3. This means an additional $2.50 for each of the three criteria results in $2.50 + $2.50 + $2.50

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