Let’s say your cost-per-click is $0.05 on average and you want around 200 clicks per day. What should you set as your daily budget?
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AdWords Fundamentals Certification
You set an average daily budget for each AdWords campaign, and then the system will aim to show your ads as much as possible until your budget is met. You should always monitor your budget and costs to optimize it when needed.
When your budget is reached, your ads will typically stop showing for that day. How quickly your ads are shown during a given day is determined by your ad delivery option.
In this case, you’re expecting 200 clicks per day with $0.05 cost per click on average. Means 200 X $0.05 = $10. You set $10 daily budget for that campaign. Note that it’s possible that you’ll be charged less or sometimes slightly more than your average daily budget amount on a given day.