Impressions: No.

of times ad appears on third-party sites

CPM: Cost paid per 1000 impressions
CPC: Cost per click – Amount paid by you every time user clicks on
the ad
CTR: Ratio of clicks to impressions - % people who saw your ad and
clicked to get to the post click landing page
 Guesstimate Framework
1. Ask Clarification Questions
• For ex. if question is regarding no. of queries processed by google per second, the clarification questions can be
“Whether region specific (India) or entire world”, “Whether to count only manual queries or also automated code
based queries”, “Whether to do this exercise for a particular mode of device like mobile phones etc.”
2. Map out the calculations
• State your assumptions including any edge cases that you might be disregarding and reasons for doing the same
3. Round numbers and calculate
4. Sense-Check your results (if time permits and if you are fairly confident on how to do so)
• Be mindful that the result from the sanity check might be very different than your guesstimate figure
• In this scenario focus on pointing out the potential sources of errors in your assumptions

Advanced Tips:
1. Rule of 72: For calculating how long will it take for something to double, divide 72 by the
percent increase
2. Label units
3. Always methodologically lost down your approach: In the event that you encounter a
mistake/roadblock, you can trace back to the last intermediate step and continue